The first pillar of Basel II (Minimum capital requirements) deals with maintenance of regulatory capital calculated for three major components of risk that a bank faces: credit risk, operational risk, and market risk. Other risks are not considered fully quantifiable at this stage. 1.The credit risk component can be calculated in three different ways of varying degree of sophistication, namely standardized approach, Foundation IRB, Advanced IRB and General IB2 Restriction. IRB stands for "Internal Rating-Based Approach". 2.For operational risk, there are three different approaches – basic indicator approach or BIA, standardized approach or TSA, and the internal measurement approach (an advanced form of which is the advanced measurement approach or AMA). 3.For market risk the preferred approach is VaR (value at risk). ALM is used to manage Liquidity Risk
Which law explains why it is difficult to hammer a nail into a freely suspended wooden frame?
What is found in frequency modulation?
Which of the following pairs of phenomena illustrate the particle nature of the electromagnetic radiation?
The ratio of the total distance traveled by a body to the total time taken is its:
The process involved in making soap is
Two long parallel conductors are placed 8mm apart from each other carrying a current of 120 Amperes. What will be force per meter length of each one?
Which instrument is used to measure the moisture content in the air?
In the equation of motion ( v = u + at ), ( u) represents:
The absolute temperature of a body A is five times that of another body B. For two bodies, the difference in wave lengths at which energy radiated is ma...