Basel II has helped create incentives for banks to package up and sell credit risk sitting on their balance sheets to a wide variety of investors. But a growing number of analysts and regulators are ...
Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter. Basel II creates perverse incentives to underestimate credit risk. Says Harald Benink and George Kaufman, ...
The Basel II accord has done more harm than good for stability. In a previous post last month on the failure of financial regulation, I pointed out that Basel II has glaring deficiencies that ...
The Basel Committee on Banking Supervision received feedback from central banks across the world and other stakeholders. Since Basel I’s implementation in 1992, the banking landscape had changed a lot ...
Common sense dictates that Basel II should benefit independent small and medium-sized private banks. The overriding rationale for this update to the original Basel Accord of 1988 has been to ...
NEW YORK & LONDON--(BUSINESS WIRE)--A new report by Fitch demystifies the Basel II treatment of asset correlation and provides original empirical analysis of the correlation values assumed under the ...
Capital adequacy requirements are the rules that help bank supervisors determine whether banks hold sufficient capital at all times to meet unexpected losses. The New Capital Adequacy Framework ...
Over the years since the first proposed revision of the Basel Accord on Capital Adequacy (Basel II), the Shadow Financial Regulatory Committee has criticized the Basel Committee’s proposals ...
For the last eight years the Basel Committee on Banking Supervision (Basel Committee) has struggled to replace the original Accord on Capital Adequacy (Basel I) with a new Accord (Basel II). At the ...
They are concerned that the rules – named Basel II after the Swiss-based G10 banking committee which drafted them – are being implemented in different ways in the EU and the US. These differences, the ...
Released in 2004, Basel II is a pivotal banking regulation framework by the Basel Committee on Banking Supervision. It strengthens the principles of Basel I by setting comprehensive guidelines for ...
The banking world was rocked in early 2000 when the Basel II Capital Accord came out with its first draft. This accord emanated from the Bank for International Settlements (BIS), which is an ...