{"data":{"id":"us/12-cfr-217.123","jurisdiction":"us","citation":"12 CFR 217.123","heading":"Ongoing qualification.","body":"(a) Changes to advanced systems. A Board-regulated institution must meet all the qualification requirements in § 217.122 on an ongoing basis. A Board-regulated institution must notify the Board when the Board-regulated institution makes any change to an advanced system that would result in a material change in the Board-regulated institution's advanced approaches total risk-weighted asset amount for an exposure type or when the Board-regulated institution makes any significant change to its modeling assumptions.\n(b) Failure to comply with qualification requirements. (1) If the Board determines that a Board-regulated institution that uses this subpart and that has conducted a satisfactory parallel run fails to comply with the qualification requirements in § 217.122, the Board will notify the Board-regulated institution in writing of the Board-regulated institution's failure to comply.\n(2) The Board-regulated institution must establish and submit a plan satisfactory to the Board to return to compliance with the qualification requirements.\n(3) In addition, if the Board determines that the Board-regulated institution's advanced approaches total risk-weighted assets are not commensurate with the Board-regulated institution's credit, market, operational, or other risks, the Board may require such a Board-regulated institution to calculate its advanced approaches total risk-weighted assets with any modifications provided by the Board.","path":["Title 12—Banks and Banking","CHAPTER II—FEDERAL RESERVE SYSTEM","SUBCHAPTER A—BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM","PART 217—CAPITAL ADEQUACY OF BANK HOLDING COMPANIES, SAVINGS AND LOAN HOLDING COMPANIES, AND STATE MEMBER BANKS (REGULATION Q)","Subpart E—Risk-Weighted Assets—Internal Ratings-Based and Advanced Measurement Approaches"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-12.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:24:16Z","sha256":"da5e18e451777ea32556dce4fee9e41125e2a59a1fedb16555503dfcca677db1","source_id":"us-cfr","stale":true,"prev":"us/12-cfr-217.122","next":"us/12-cfr-217.124"},"notice":"GroundRules: Original legal text. Not legal advice."}