The Quantitative Analysis Unit (QAU) conducts research and analysis to support the Federal Reserve System's supervisory efforts, the System's development and implementation of regulatory policy, and the System's formation of monetary policy. The QAU has made significant policy contributions to operational and credit risk studies in support of the new Basel II Accord. 

The QAU has supported efforts to finalize the treatment of operational and credit risk in the Basel II Accord by analyzing various quantification techniques, investigating domestic implementation challenges, and participating in drafting the supervisory guidance for both operational and credit risk.

The QAU also participates in the bank supervisory process by providing expertise in emerging industry practices on operational and credit risk management and quantification methodologies for large, complex and specialized banking organizations that are or will be expected to utilize sophisticated quantitative techniques to measure and allocate capital for both operational and credit risk.

In addition, the QAU contributes to and supports monetary policy deliberations by analyzing information obtained through the supervisory process regarding the condition of the banking industry and broader credit markets and researching the interrelationships of financial sector conditions and the macroeconomy.