Assuming that a given bank wants to comply with the Basel Accord requirements, in particular the Foundation IRB approach. Accordingly, it has to develop a PD model to predict the probability of default of its borrower within one year. Hence, this paper aims to present a simply empirical...

According to the Basel Accord II, one of the key factors in the Internal-Ratings Based (IRB) framework is the Risk Weight Function (RWF). Indeed, it uses four risk components including PD, LGD, EAD, and M as input to yield the capital requirement and thereby Risk-Weighted Asset (RWA). Given the...

Radio Frequency Identification (RFID) system is a remote identification technology which is taking the place of barcodes to become electronic tags of an object. However, its radio transmission nature is making it vulnerable in terms of security. Recently, research proposed that an RFID tag can...