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Credit risk 1 Kreditrisiko 1 Risiko 1 Risk 1 Theorie 1 Theory 1
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Ghamami, Samim 1 Goldberg, Lisa 1
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FEDS Working Paper 2014-54 1
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Stochastic Intensity Models of Wrong Way Risk : Wrong Way CVA Need Not Exceed Independent CVA
Ghamami, Samim - 2015
Wrong way risk can be incorporated in Credit Value Adjustment (CVA) calculations in a reduced form model. Hull and White (2012) introduced a CVA model that captures wrong way risk by expressing the stochastic intensity of a counterparty's default time in terms of the financial institution's...
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