Question
What is the alpha factor set by Basel Committee relating
to the industry wide level of required capital for operational risk, under the Basic Indicator Approach?Solution
Basic Indicator approach (BIA): Banks using this approach, bank must hold capital for operational risk equal to the average over the previous three years of a fixed percentage of positive annual gross income. Formula: KBIA= (Sigma (GI...n * alpha)/n · KBIA - capital charge under BIA, · GI annual gross income, · n - number of previous years ( Eg:3) · Alpha factor =15% is set by Basel Committee relating to the industry wide level of required capital
He is always praised for his gift of the gab.
Hang in there
Contain commonly used idioms and phrases in the English language. In each case, choose the option representing the correct meaning of each of ...
When two heavyweights have an argument, its best to sit on the fence and not make either of the turn against you.
Cool heels
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Despite all the warnings, he continued to take unnecessary ris... In each of the following questions, an idiomatic expression/a proverb has been underlined – followed by four alternatives. Choose the one which best ...
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to chew the cud
Fill in the blanks with the correct idiom.
The new employee had no experience in the field, but he quickly adapted and showed that he was a ___...
