The proposal being developed at Basel builds on best-practice risk- measurement and risk-management techniques and, at least in its advanced versions, is as much about ensuring that banks use such techniques as it is about a more risk-sensitive capital approach. Indeed, these considerations are two sides of the same coin.
Any complex change will induce opposition and concern, in part because of fear of change and comfort with the known rules, in part because of preference for other alternatives by those affected, and in part because of anxiety that it may upset current competitive positions.