Trading book: Difference between revisions
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imported>Doug Williamson (Add links.) |
imported>Doug Williamson (Add link.) |
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*Hedging risks arising from any of these activities. | *Hedging risks arising from any of these activities. | ||
The trading book is distinguished from the banking book. | |||
The banking book includes all instruments which are not in the trading book. | The banking book includes all instruments which are not in the trading book. | ||
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* [[Arbitrage]] | * [[Arbitrage]] | ||
* [[Banking book]] | * [[Banking book]] | ||
* [[Book]] | |||
* [[Capital adequacy]] | * [[Capital adequacy]] | ||
* [[Fundamental Review of the Trading Book]] | |||
* [[Hedging]] | * [[Hedging]] | ||
* [[Interest rate risk]] | * [[Interest rate risk]] | ||
* [[ | * [[Interest Rate Risk in the Banking Book]] (IRRBB) | ||
* [[Market risk]] | * [[Market risk]] | ||
* [[MCRMR]] | * [[MCRMR]] | ||
* [[Market Risk in the Banking Book]] (MRBB) | |||
[[Category:Accounting,_tax_and_regulation]] | |||
Latest revision as of 15:19, 14 July 2022
Bank supervision - capital adequacy.
For capital adequacy calculation purposes, a bank's trading book includes any instruments which are held for any one or more of:
- Short term resale.
- Profiting from short term price movements.
- Locking in arbitrage profits.
- Hedging risks arising from any of these activities.
The trading book is distinguished from the banking book.
The banking book includes all instruments which are not in the trading book.
