> ## 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.

# Omega

<Badge color="gray" size="lg">[ima](./measures/imadrc)</Badge>

|                 |                                                                                                                                                                            |
| --------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| **Description** | The IMCC multiplier reflecting weighted average of 1 and the ratio of undiversified IMCC(C) to diversified IMCC(C) (BCBS 395: 2.1 Q1). May be computed on a different date |
| **Notation**    | $\omega$                                                                                                                                                                   |
| **Formula**     | $\displaystyle \omega=\rho +(1-\rho) \frac{ \sum_{i=1}^R IMCC(C_i) }{ IMCC(C)}$                                                                                            |

The reference date is set with the hierarchy \[Dates].\[OmegaDate].\[OmegaDate].

The measure is based on the weighted average of the constrained and unconstrained expected shortfall charges - [ES (Capital Constrained)](./es-capital-constrained-ima) and [ES (Capital Unconstrained)](./es-capital-unconstrained-ima).

With $\omega$  [IMCC](./imcc-ima) formula can be rewritten as:

$$
IMCC = \omega \cdot IMCC( C )
$$