Dirty price and Liquidity Coverage Ratio: Difference between pages

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imported>Doug Williamson
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''Bond pricing.''
''Bank regulation''.
 
A requirement under Basel III for banks to hold appropriate levels of high-quality liquid assets (HQLAs), generally at significantly higher levels than required under earlier regulations.
 
The purpose of this requirement is to ensure that banks can manage stressed market conditions, under which the bank is assumed to suffer substantial outflows of the cash previously deposited with it.


The dirty price of a bond includes accrued interest and is the total amount payable on the sale and purchase of the bond in between interest payment dates.
<bR>Also known as the 'invoice price' of the bond, because this is the amount that would be payable by a buyer to a seller, for the transfer of ownership of the bond.




== See also ==
== See also ==
* [[Bond]]
* [[Basel III]]
* [[Clean price]]
* [[Net stable funding ratio]]
* [[Cash investing in a new world]]
* [[Leverage ratio]]


[[Category:Long_term_funding]]
[[Category:Compliance_and_audit]]

Revision as of 16:12, 10 April 2015

Bank regulation.

A requirement under Basel III for banks to hold appropriate levels of high-quality liquid assets (HQLAs), generally at significantly higher levels than required under earlier regulations.

The purpose of this requirement is to ensure that banks can manage stressed market conditions, under which the bank is assumed to suffer substantial outflows of the cash previously deposited with it.


See also