Which of the following types of risks are used in calculation of Capital to Risk (Weighted) Assets Ratio (CRAR)?
Which of the following types of risks are used in calculation of Capital to Risk (Weighted) Assets Ratio (CRAR)?
1. Credit Risk
2. Market Risk
3. Operational Risk
Select the correct option from the codes given below:
[A] Only 1 & 2
[B] Only 2 & 3
[C] Only 1 & 3
[D] 1, 2 & 3
1, 2 & 3
Total capital ratio (CRAR) = Eligible Total Capital / RWA for (Credit risk + Market risk + Operational risk)