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WorksheetsUnit 5
Total questions: 11
Worksheet time: 6mins
Bank capital should be measured on a ___ basis.
Debt-adjusted
Risk-adjusted
Leverage-adjusted
Liquidity-adjusted
The rise of a ___ number of ___ banks changed the international financial markets.
small, small
small, large
large, small
large, large
The "level playing field” refers to...
fair treatment of customers
self-regulation
equal competition
equal credit risk
The global financial system became more vulnerable when...
the Bretton Woods system collapsed
derivatives emerged
some banks became very large
all of the above
Financial derivatives are...
extremely dangerous
risk management tools
a form of financing
a good investment
The key institutions that oversee international regulatory frameworks for banks are the...
BIS and BCBS
BSI and BISD
PRA and FCA
BoE and ECB
The latest Basel Accord is the
Basel II
Basel III
Basel V
Basel VI
Basel I introduced an international framework for...
bank transparency
liquidity requirements
higher capital ratios
risk-adjusted capital
Basel II used a significantly more detailed method to estimate
the...
capital
CEO compensation
risk-weighted assets
bank size
Which two of the following were the biggest shortcomings of Basel II?
Neglected systemic exposures
Very high capital requirements
Neglected operational risk
Heavy reliance on credit rating agencies
Which of the following Basel III did not do?
Enhanced the estimations of risk weighted assets
Improved Tier 1 and Tier 2 capital
Introduced macroprudential dimensions on capital requirements
Reduced the size of very large banks to control their systemic importance
