> ## 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.

# Net JTD

The **Net JTD [Long](../../../../../../../cube/drc-non-sec-net-jtd-long)/[Short](../../../../../../../cube/drc-non-sec-net-jtd-short)** measures are calculated from the **Scaled Gross JTD** (or **Gross JTD**) according to [MAR22.19](https://www.bis.org/basel_framework/chapter/MAR/22.htm?inforce=20230101\&published=20200327#paragraph_MAR_22_20230101_22_19).

For each obligor, the Scaled Gross JTD values are aggregated by seniority ranking, then the offsetting is applied to get the long and short Net JTD.

For example, with seniorities $Senior > Junior > Equity$, and aggregate scaled gross JTD values $JTD_{Senior}$, $JTD_{Junior}$, $JTD_{Equity}$, we have:

$Net\ JTD_{Long} = \max(\max(\max(JTD_{Senior}, 0) + JTD_{Junior}, 0) + JTD_{Equity}, 0)$

$Net\ JTD_{Short} = \min(\min(\min(JTD_{Equity}, 0) + JTD_{Junior}, 0) + JTD_{Senior}, 0)$