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Find the expected loss rate under the dual rating system following the given information. 15% 15% Liquidity Financial Efficiency Collateral Weights 25% 25% 20% Risk
Find the expected loss rate under the dual rating system following the given information. 15% 15% Liquidity Financial Efficiency Collateral Weights 25% 25% 20% Risk Class Solvency Repayment Profitability 1 2 3 4 x 5 PD (%) 0.00 1.39 2.41 8.56 12.35 X X and Loss-Given-Default Classifications Risk Class Degree of security 1 Exceptionally well secured 2 Well secured 3 Adequately secured 4 Marginally secured 5 Under secured LGD (%) 0 25 50 75 100 Answers: 0.603% 6.257% 0.215% 25% Find the expected loss rate under the dual rating system following the given information. 15% 15% Liquidity Financial Efficiency Collateral Weights 25% 25% 20% Risk Class Solvency Repayment Profitability 1 2 3 4 x 5 PD (%) 0.00 1.39 2.41 8.56 12.35 X X and Loss-Given-Default Classifications Risk Class Degree of security 1 Exceptionally well secured 2 Well secured 3 Adequately secured 4 Marginally secured 5 Under secured LGD (%) 0 25 50 75 100 Answers: 0.603% 6.257% 0.215% 25%
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