Label: |
Weighted Average LGD % of On-Balance Sheet Credit Exposures |
Concept Guidance: |
This is, as at the relevant date, the exposure weighted average loss given default (LGD) for on-balance sheet credit exposures.This item is calculated for capital adequacy purposes and is to be determined in accordance with relevant prudential standards.Weighted average LGD = SIGMAi LGDi x EADi / SIGMAi EADiWhere:LGDi = the LGD associated with the ith exposure in the group.EADi = the EAD associated with the ith exposure in the group.Loss given default (LGD) represents an entities economic loss upon the default of an obligor.
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