Financial Conduct Authority and Leptokurtic frequency distribution: Difference between pages

From ACT Wiki
(Difference between pages)
Jump to navigationJump to search
imported>Doug Williamson
(Layout.)
 
imported>Administrator
(CSV import)
 
Line 1: Line 1:
(FCA).
A leptokurtic frequency distribution (or leptokurtotic distribution) has a larger number of values clustered at the peak and in the tails, than a comparable normal distribution with the same variance and mean.


One of two key regulators for the financial services industry in the UK.
A possible explanation for this shape is that the market under review is mean reverting for small market movements (explaining the clustering at the peak) and trending for large market movements (explaining the clustering in the tails).
 
Its aims include:
 
# Protecting consumers;
# Ensuring the industry remains stable; and
# Promoting healthy competition between financial services providers.


== See also ==
* [[Frequency distribution]]
* [[Leptokurtosis]]
* [[Lognormal frequency distribution]]
* [[Mean reversion]]
* [[Normal distribution]]
* [[Normal frequency distribution]]
* [[Tail]]
* [[Trend analysis]]
* [[Volatility smile]]


The Financial Conduct Authority's responsibilities were formerly undertaken by the Financial Services Authority (FSA).
The former FSA's other responsibilities were substantially transferred to the Prudential Regulation Authority (PRA).
== See also ==
* [[Financial Services Authority]]
* [[FRAND]]
* [[LIBOR]]
* [[Prudential Regulation Authority]]
* [[CFTC]]

Revision as of 14:19, 23 October 2012

A leptokurtic frequency distribution (or leptokurtotic distribution) has a larger number of values clustered at the peak and in the tails, than a comparable normal distribution with the same variance and mean.

A possible explanation for this shape is that the market under review is mean reverting for small market movements (explaining the clustering at the peak) and trending for large market movements (explaining the clustering in the tails).

See also


Retrieved from ‘https://wiki.treasurers.org/w/index.php?title=Financial_Conduct_Authority&oldid=29897’