Recent crises in the financial industry have shown weaknesses in the modeling of Risk-Weighted Assets (RWAs). Relatively minor model changes may lead to substantial changes in the RWA numbers. Similar problems are encountered in the Value-at-Risk (VaR)-aggregation of risks. In this article, we...

Recent studies uncover the lack of symmetry in COVID-19-related economic shock distributions among households. Thus, questions arise about the appropriateness of diverse risk-coping mechanisms by households. We add to this strand of research by focusing on households running a business. In...