Basis and Probability of Default: Difference between pages

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1. ''Market conventions.''
(PD).


The method or convention under which a value or price has been calculated.
Probability of Default means an assessment of the probability that the counterparty to a loan will default within a specified timeframe, usually one year.
 
Sometimes known as the ''base''.
 
 
2. ''Risk identification.''
 
Abbreviation for basis risk.
 
 
3. ''Futures markets.''
 
In futures markets, the price differential between (1) the price of the asset underlying the futures contract and (2) the price of the futures contract.




== See also ==
== See also ==
* [[Accruals basis]]
* [[Base]]
* [[Basis risk]]
* [[Futures]]
* [[Underlying asset]]


[[Category:The_business_context]]
* [[Credit rating]]
[[Category:Financial_products_and_markets]]
* [[Default]]
* [[Expected Loss]]
* [[Exposure At Default]]
* [[IRB]]
* [[Loss Given Default]]

Revision as of 16:17, 12 November 2016

(PD).

Probability of Default means an assessment of the probability that the counterparty to a loan will default within a specified timeframe, usually one year.


See also

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