Skip to main content

Documentation Index

Fetch the complete documentation index at: https://docs.activeviam.com/llms.txt

Use this file to discover all available pages before exploring further.

DescriptionA hedging misalignment parameter, which is designed to limit the extent to which indirect hedges can reduce capital requirements given that they will not fully offset movements in a counterparty’s credit spread.
Reference[MAR50.25]
NotationcHMA\sum_{c} HMA
FormulacHMA=chc(1rhc2)(RWhMhBhDFh)2\sum_{c} HMA=\sum_{c} \sum_{h \in c} \left(1- r_{hc}^2 \right) \cdot \left( RW_{h} \cdot M_h \cdot B_{h} \cdot DF_h \right)^2

See also