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DescriptionInterim measure for CVA Capital charge computed by BA-CVA approach. Existance of SA-CVA supervisory approval or carved out netting sets are ignored by this measure.
Variations
Reference[MAR50.20]
NotationKfullK_{full}
FormulaKfull=βKreduced+(1β)KhedgedK_{full}= \beta \cdot K_{reduced} + (1-\beta) \cdot K_{hedged}

See also