Basel 2.5 and Cash flow at risk: Difference between pages

From ACT Wiki
(Difference between pages)
Jump to navigationJump to search
imported>Doug Williamson
(Expand.)
 
imported>Doug Williamson
(Link with CFAR page)
 
Line 1: Line 1:
''Banking - capital adequacy.''
(CFaR, or CFAR).


Basel 2.5 was an update to Basel II, which became effective in 2011.
A value at risk measure which identifies the worst-case result for an organisation in cash flow terms, which the organisation can be confident of not doing worse than, at the given level of confidence and assuming the modelling assumptions are valid for the entire forecast period.


It increased regulatory capital requirements in relation to market trading risks.


Basel 2.5 is occasionally written as ''Basel II.5'', but this is rare.


== See also ==
== See also ==
* [[Basel II]]
* [[Value at risk]]
* [[Basel III]]
* [[CFAR]]
* [[Capital adequacy]]
* [[CRD IV]]

Revision as of 09:24, 20 May 2015

(CFaR, or CFAR).

A value at risk measure which identifies the worst-case result for an organisation in cash flow terms, which the organisation can be confident of not doing worse than, at the given level of confidence and assuming the modelling assumptions are valid for the entire forecast period.


See also