Value at Risk (VaR) is the regulatory measurement for assessing market risk. It reports the maximum likely loss on a portfolio for a given probability defined as x% confidence level over N days. VaR is vital in market risk management and control. Also regulatory and economic capital computation is based on VaR results. Although VaR measure is…[Read more]

Financial business is exposed to many types of risks due to the nature of business. To guard against the risk, financial institutions must hold capital in proportion to the potential risk. Market risk economic capital is intended to capture the value change due to changes in market risk factors. It is an internal capital reserve to cover…[Read more]

A financial market is a market where people trade financial products. Typical financial markets are the fixed income and interest rate market, the currency market, the equity market, the commodity market and the credit market.

The incremental risk charge (IRC) is a regulatory requirement from the Basel Committee in response to the financial crisis. It supplements existing Value-at-Risk (VaR) and captures the loss due to default and migration events at a 99.9% confidence level over a one-year capital horizon.

Initial Margin (IM) is the amount of collateral required to open a position with a broker or an exchange or a bank. The Standard Initial Margin Model (SIMM) is very likely to become the market standard. It is designed to provide a common methodology for calculating initial margin for uncleared OTC derivatives. Initial margin calculation is…[Read more]

Value at Risk (VaR) is the regulatory measurement for assessing market risk. It reports the maximum likely loss on a portfolio for a given probability defined as x% confidence level over N days. VaR is vital in market risk management and control. Also regulatory and economic capital computation is based on VaR results. Although VaR measure is…[Read more]

An implied volatility is the volatility implied by the market price of an option based on the Black-Scholes option pricing model. In cap market, a cap/floor is quoted by implied volatilities but not prices. An interest rate cap volatility surface is a three-dimensional plot of the implied volatility of a cap as a function of strike and maturity.

In an article that exposes the roots of Brexit-era Germanophobia, Rita Singer details how Welsh press coverage and poetry about U-Boat attacks on Welsh ships evolved into racialised depictions of German U-Boat combatants as ‘Huns’, monsters, ghouls and Satanic fiends

This is a chapter about the Chilean experience toward Democracy (1983-1990).

The factors behind the rise of Islamism in Turkey remain the subject of intense scholarly debate. There are remarkable relationships between the rise of Islamism and preceding changes in population dynamics in Turkey. Rapid urbanization and large-scale migration of Kurds and other ethnic minorities from the east of the county to major cities in…[Read more]

Over the last four decades of the 18th century, the image of Sparta began to include a few characteristic elements that later became an important point of reference for 19th-century writers, philosophers and historians. Issues of Spartan equality of citizens, fully responsible for their country, and also soldierly honour and Sparta’s military c…[Read more]

The Fundamental Review of the Trading Book (FRTB) is a new Basel committee framework for the next generation market risk regulatory capital rules. It is inspired by the undercapitalisation of trading book exposures witnessed during the financial crisis. FRTB aims to address shortcoming of the current Basel 2.5 market risk capital framework.

Funding Valuation Adjustment (FVA) is introduced to capture the incremental costs of funding uncollateralized derivatives. It can be referred to as the difference between the rate paid for the collateral to the bank’s treasury and rate paid by the clearinghouse. Also FVA can be thought of as a hedging cost or benefit arising from the mismatch b…[Read more]

Credit valuation adjustment (CVA) is the market price of counterparty credit risk that has become a central part of counterparty credit risk management. By definition, CVA is the difference between the risk-free portfolio value and the true/risky portfolio value. In practice, CVA should be computed at portfolio level. That means calculation…[Read more]

John R. Palandech was a well-known immigrant publisher, politician, and entrepreneur in Chicago from the Gilded Age to the post–World War II era. This article retraces his biography and crosses it with the transatlantic political, cultural, and economic world Palandech was a part of and actor in. At the core of this study is a collection of l…[Read more]

Collateral is a property or an asset that a borrower offers as a way for a lender to secure the loan. Collateral arrangement is a risk reduction tool that mitigates risk by reducing credit exposure. Collateral doesn’t turn a bad counterparty into a good one and doesn’t eliminate credit risk. Instead, it just reduces the loss at the time of def…[Read more]

Abstract: The current article explores interesting, significant and recently identified nuances in disclosing the professed firm culture in the virtual realm. Its emphasis is set on two exotic instruments – organizational mantra and memorandum that senior managers in business organizations may use to successfully clarify and communicate what is t…[Read more]

Abstract: The current article explores interesting, significant and recently identified nuances in disclosing the professed firm culture in the virtual realm. Its emphasis is set on two exotic instruments – organizational mantra and memorandum that senior managers in business organizations may use to successfully clarify and communicate what is t…[Read more]

Unofficial Description: In Arab American studies, it’s long been understood that Syrian immigrants became “legally white” in 1915’s George Dow v United States. This access to whiteness was critical in getting access to US citizenship. However, US laws governing Syrian racial status also bore implications beyond the US context. Starting with Dow…[Read more]

Mark Bray is a historian of human rights, terrorism, and political radicalism in Modern Europe as well as a political organizer. This interview outlines what fascism is, the history of anti-fascist resistance, the debate surrounding free-speech, anti-imperialism, World War II, and the Trump Era.

Mark Bray is a political organizer and historian…[Read more]