Search: credit risk/exposure
RBA Glossary definition for credit risk/exposure
credit risk/exposure – The risk that a counterparty will not settle an obligation for full value, either when due or thereafter. In 'exchange-for-value' systems, the risk is generally defined to include replacement risk (the risk of having to replace a contract at a potentially unfavourable price) and principal risk.
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Robust Design Principles for Monetary Policy Committees | Conference – 2018
12 Apr 2018
Conferences
Risk management necessarily involves questioning standard assumptions and encouraging outside-the-box thinking. ... Against that background, the experiences of many central banks over recent decades highlight two basic types of risk exposure in monetary
https://www.rba.gov.au/publications/confs/2018/archer-levin.html
The Role of Collateral in Borrowing
20 Jan 2021
RDP
2021-01
Rather, the results suggest that lenders seem to be more likely to manage their risk exposure by the amount they lend to a particular bank or even whether they lend to ... The idea is that following unexpected system-wide stress, differences in risk
https://www.rba.gov.au/publications/rdp/2021/2021-01/full.html
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Note 15 – Financial instruments | Financial Statements
30 Jun 1998
RBA Annual Report
– 1998
The Bank's maximum credit risk exposure in relation to off balance sheet items is:. ... Concentration of credit risk. The Bank operates to minimise its credit risk exposure through comprehensive risk management policy guidelines.
https://www.rba.gov.au/publications/annual-reports/rba/1998/fin-statements/note-15.html
Risk and the Transformation of the Australian Financial System | Conference – 2007
20 Aug 2007
Conferences
This should be supportive of financial stability to the extent that it disperses credit risk more widely. ... While securitisation allows for the transfer of credit risk, the banks' primary objective in securitising housing loans has been to fund more
https://www.rba.gov.au/publications/confs/2007/ryan-thompson.html
Trading in Treasury Bond Futures Contracts and Bonds in Australia
18 Sep 2014
Bulletin
– September 2014
Treasury bond futures are a key financial product in Australia, with turnover in Treasury bond futures contracts significantly larger than turnover in the market for Commonwealth Government securities (CGS). Treasury bond futures contracts provide a
https://www.rba.gov.au/publications/bulletin/2014/sep/6.html
Structural Features of Australian Residential Mortgage-backed Securities
18 Jun 2015
Bulletin
– June 2015
This article provides a summary of structural features typically found in Australian residential mortgage-backed securities and their evolution over the past decade. Understanding the structural features of the securities is essential to the
https://www.rba.gov.au/publications/bulletin/2015/jun/6.html
The Australian Financial System
10 Mar 2010
FSR
– March 2010
Given concerns about sovereign credit risk in smaller European countries, it is worth noting that Australian bank exposures to these countries are very small (Table 4). ... Mark-to-market margin has similarly declined. The central counterparties also
https://www.rba.gov.au/publications/fsr/2010/mar/aus-fin-sys.html
Note 16 | Financial Statements
4 Sep 2008
RBA Annual Report
– 2008
The RBA's maximum credit risk exposure in relation to off-balance sheet items is:. ... As noted, the RBA operates to minimise its credit risk exposure through comprehensive risk management policy guidelines.
https://www.rba.gov.au/publications/annual-reports/rba/2008/fin-statements/note-16.html
Derivatives – Bank Activities and Supervisory Responses
10 May 1995
Bulletin
– May 1995
Transactions in derivative products can be characterised as ‘zero-sum games’ where those seeking to reduce their risk exposure (to, for instance, a rise in the exchange rate) pay another party ... Sometimes, where the bank chooses to be the risk
https://www.rba.gov.au/publications/bulletin/1995/may/1.html
December: 1997-Glossary
9 Mar 2023
Media Release
the currency purchased is received with finality (see credit risk/exposure and foreign exchange settlement risk). ... The resulting exposure is the cost of replacing, at current market prices, the original transaction (see credit risk/exposure and market
https://www.rba.gov.au/media-releases/1997/mr-97-22-fxsp/annex-e.html