§ 3.162. Mechanics of risk-weighted asset calculation.
176 words·~1 min read·
/us/cfr/t12/s§ 3.162·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(a)If a national bank or Federal savings association does not qualify to use or does not have qualifying operational risk mitigants, the national bank's or Federal savings association's dollar risk-based capital requirement for operational risk is its operational risk exposure minus eligible operational risk offsets (if any).
(b)If a national bank or Federal savings association qualifies to use operational risk mitigants and has qualifying operational risk mitigants, the national bank's or Federal savings association's dollar risk-based capital requirement for operational risk is the greater of:
(1)The national bank's or Federal savings association's operational risk exposure adjusted for qualifying operational risk mitigants minus eligible operational risk offsets (if any); or
(2)0.8 multiplied by the difference between:
(i)The national bank's or Federal savings association's operational risk exposure; and
(ii)Eligible operational risk offsets (if any).
(c)The national bank's or Federal savings association's risk-weighted asset amount for operational risk equals the national bank's or Federal savings association's dollar risk-based capital requirement for operational risk determined under sections 162(a) or
(b)multiplied by 12.5.