Answer / abhishek chauhan

What is Basel 1?
• Aimed to standardized the computation of riskbased
capital across banks and across countries.
• Issued in 1988 by the Basel Committee on
Banking Supervision, a group of banking
supervisors which secretariat is based at the Bank
for International Settlements in Basel,
Switzerland.

What is Basel 1?
Capital charge depend on credit risk modeling .Risk weights
depend on internal ratings
(PD/LGD) .Risk weights depend on external ratings. Different
risk weights for different
asset class 0% - GS 100% - others 100% RW for all assets
1. OECD – nonOECD countries
2. OECD – nonOECD incorporated banks
3. Residential mortgage
4. Others

Answer / anonymous

Basel 1 is the round of deliberations by central bankers
from around the world. Under this Basel accord, some
minimum capital requirements were set for banks. This
capital requirements would be based on the kind of risks
the bank faces. Although Basel 1 only considered "Credit
risk", Basel 2 later covered "Market risk" and "operational
risk" as well.

In Basel 1, Credit risk was calculated by risk-weighted
assets of banks.
e.g 0% weight if asset is a sovereign bond and 100% weight
if asset is a corporate bond (say unsecured). Banks with
international presence are required to hold capital to 8%
of this risk weighted asset value obtained.

Basel 2 can be consedered an improvement over Basel 1 and
consists of 3 pillars: 1. Minimum capital requirement 2.
Supervisory review 3. market discipline.
Basel 2 has many more methods of calculating credit, market
and operational risks and it also keeps internal ratings by
the banks into the play as well apart from external ratings.

Answer / ram

basel is bank, base-1 and basel-2 are the case study, the
problem about the basel bank

What is the link between the Balance Sheet and the Statement of Cash Flows?

0 Answers   Deloitte,

---

Do you know what LAF is?

0 Answers   RBI,

---

How can i create a business blueprint document for SAP FI, CO , SD Module?

0 Answers  

---

Regarding export, We have Excisable goods for Export, issuing Form ARE1 (Annexure-1), If we'll pay Excise Duty with adjustment from our accumulated of cenvat and "Claim for rebate of Duty paid on goods exported."/ CE Rule 18 Which type shipping bill should be file for "Claim for rebate of Duty paid on goods exported. .......Plz advise now can we also get DBK all industry rate? Motive: To reduce the accumulation of heavy cenvat To claim the refund of duty drawback, duty paid on raw material components, parts, packing material & others applicable inputs under Section 4A of valuation act. FYIP, We are registered with deptt. of excise and availing the cenvat on all inputs. Availing facility of CENVAT credit under CENVAT credit rules, 2002

0 Answers  

---

What is Basel II, is it helpful?

3 Answers  

---

what is the meaning of the capital ique

4 Answers   CA, Capital IQ, IQ, Save the Children,

---

Discuss your career progression.

0 Answers   Banking,

---

Why bond prices are inversely related to interest rates?

0 Answers  

---

Explain Dr.Hanry markowitz's portfolio selection model. And What are the strengths and weaknesses of Markowitz approach?

0 Answers   Unicon,

---

by which international certificate special import concession can be achived

0 Answers  

---

What are the advances that the banks grant to their customers for their financial assistance?

0 Answers  

---

What is cash reserve ratio (crr)?

0 Answers  

---