This chapter analyzes the role of financial accounting in the German financial system. It starts from the common … perception that German accounting is rather uninformative. This characterization is appropriate from the perspective of an arms … perspective is adopted. The German accounting system exhibits several arrangements that privately communicate information to …

This chapter analyzes the role of financial accounting in the German financial system. It starts from the common … perception that German accounting is rather "uninformative". This characterization is appropriate from the perspective of an arm … perspective is adopted. The German accounting system exhibits several arrangements that privately communicate information to …

with both macroeconomic and idiosyncratic components. The examined properties include expected loss, loss given default …, and macro factor dependencies. Using a two-dimensional loss decomposition as a new metric, the risk properties of … bonds with the same rating. In particular, loss given default, the sensitivities to macroeconomic risk, and model risk …

asset correlation or in mean portfolio loss) has the strongest impact, in relative terms, on the exposure of senior tranche …

with both macroeconomic and idiosyncratic components. The examined properties include expected loss, loss given default …, and macro factor dependencies. Using a two-dimensional loss decomposition as a new metric, the risk properties of … bonds with the same rating. In particular, loss given default, the sensitivities to macroeconomic risk, and model risk …