Default Loss definition
Examples of Default Loss in a sentence
The key drivers to be stressed include Probability of Default, Exposure at Default, Loss Given Default and collateral liquidity; Senior Management must be an integral part of the stress testing process, which should not be limited to a simple reporting exercise.
The Company’s Credit Risk Management Department develops the methodology to assign Probability of Default, Loss Given Default and Exposure at Default estimates to these pools of exposures with similar risk characteristics, using factors that may include the Fair Isaac Corporation (“FICO”) scores of the borrowers.
Settlements will also load the default loss allocation amounts onto Default Loss Type invoice and send the amounts back to Market Clearing.
The Dedicated Capital Contribution for the Own Contribution in the event of a Member Default (pursuant to clause 13.1) and the Own Contribution in the event of a Non- Default Loss (pursuant to clause 13.2) is financed in both cases from the reserves of SIX x-clear.
NBFCs shall comply with the instructions contained in circular on ‘Guidelines on Default Loss Guarantee (DLG) in Digital Lending’ dated June 08, 2023, as amended from time to time.
Preparing various data models for estimation of parameters like Probability of Default, Loss given Default etc.
A defaulter’s Contribution shall not be treated as standing to the credit of any client account of the defaulter except to the extent that any Default Loss certified under Rule 23(b) arises in relation to a client account and the Clearing House so requires.
Furthermore, with a letter dated 27 November 2018, the ECB informed the Bank that, within the context of TRIM, starting from 21 January 2019, an on-site inspection relating to the internal model on credit risk of the Issuer and the Group will be carried out with respect to parameters Probability to Default, Loss Given at Default and Credit Conversion Factor, in the context of the exposures called Corporate – others.
For migrating from stage 3 to stage 2, the duration of the assessment period is 12 months.As a rule, the Savings Banks Group’s assessment of expected credit loss is based on the PD*LGD*EAD model, the components of which are Probability of Default, Loss Given Default and Exposure at Default.
Notwithstanding any provision of the Rulebook to the contrary, any loss which relates to a Treasury Account may not be treated as a Default Loss (as defined in Rule 23(b)), whether or not cover has been applied in respect of such loss.