FRM: Operational Risk in Basel II

There are three approaches to operational risk in Basel II: basic indicator (BIA), standardized (SA), and advanced measurement approach (AMA). BIA is alpha (15%) of the bank's total gross operating income (GOI). SA weights the charge by business line (12%, 15% or 18% depending on the business line). For more financial risk videos, visit our website! www.bionicturtl...

[@xiao6322]

Thank you very much. Better than reading a book

[@bionicturtle]

+xiao Lin You're welcome! Thank you for watching!

[@Beby612]

Clear and concise. Thank you.

[@erneymufa2136]

thanks it has been so educative

[@bionicturtle]

You're welcome! Thank you for watching!

[@rasisaja]

would you explain about power law calculation in operational risk? Thanks

[@mazenalahmdi2297]

Can I implement this approach to retail industry such as Walmart or just it works for banking industry

[@yunanwang5096]

also wanna know the information about the Alpha.

[@xiao6322]

Thank yiu