The Engineering of China Commercial Bank Operational Risk Measurement

The Engineering of China Commercial Bank Operational Risk Measurement

Si Chuan University , Sichuan, China Drawing specific reserve separately for operational risk is the requirement of the New Basel Capital Accord. Since 1990, as serious loss incidents in operation risk often happened all over the world, operational risk is taken account into the risk management framework for the first time in New Basel Capital Accord, becoming the three main risk get along with...

Modeling the operational risk in Iranian commercial banks: case study of a private bank

The Basel Committee on Banking Supervision from the Bank for International Settlement classifies banking risks into three main categories including credit risk, market risk, and operational risk. The focus of this study is on the operational risk measurement in Iranian banks. Therefore, issues arising when trying to implement operational risk models in Iran are discussed, and ...

Operational risk management of commercial bank of China based on the revenue model of the CAPM model

By using the revenue model of the CAPM model, the paper focuses on the data of Industrial Bank and Bank of NINGBO, for the estimation of operational risk. The revenue model can reflect the size of the operational risk. The significant positive effect on net profit leverage of the two banks by non-performing loan cannot be neglected. Negative operating result caused by operational risk can be me...

Banking Sector Reforms and Commercial Bank Performance in China

The Chinese banking sector has gone through a consistent process of the reform which includes liberalization of the business to foreign banks, privatization and listing bank shares, allowing diversifications into intermediary business beyond the traditional deposit and loan activities. In the mean time, the changing structures of the banking sector and the favourable economic condition in the r...

Human Migration and Commercial Bank Risk During the Financial Crisis