This has changed and a system was created by the BIS: the 1988 Basle Accord
The current regulatory regime of the Basle Accord
(21) imposes the same risk-based capital charge on differently rated loans.
This stands in stark contrast to the importance attached to capital adequacy in the regulation of banks, especially since the adoption of the Basle Accord
in 1988, which established risk-based capital requirements in the Group of Ten countries.
Michael Zerbs, Algorithmics' Vice President of Research and Product Marketing, says today's turbulent financial markets, increasingly complex financial systems, and the enhanced regulations specified by the Basle Accord
have led executives and risk managers to realize the importance of proactively measuring and managing operational risk.
The most recently reported capital ratios of DKB exceed the relevant risk-based capital standards established under the Basle Accord
, and the proposed transaction is not expected to have a material effect on the capital of the consolidated organization.
3 Counterparty risk is considered under the 1988 Basle Accord
in which banks are required to set aside capital for off-balance-sheet and derivative instruments (see Basle, 1988).
On top of that, banks must scramble to meet the so-called Basle Accord
international capital-adequacy standards.
The principal objectives of the Basle Accord
and the U.
This book evaluates the implementation of the Basle Accord
from a legal and financial point of view.
4% on a consolidated basis, well above the 8% minimum requirement of the Basle Accord
, as adopted by the Central Bank (Resolution 2099/94 of the Central Bank of Brazil).
With the new proposal of the 1988 Basle Accord
suggesting the implementation of discriminatory risk-weightings across rating categories, the prospective change of the current regulatory regime will censure institutional arbitrage on regulatory capital requirements, which has hitherto motivated asset-backed securitisation.
11) San Paolo-IMI's capital ratios satisfy applicable risk-based standards under the Basle Accord
and are considered equivalent to the capital levels that would be required of a United States banking organization.