Evidence from many countries in recent years suggests that collateral values and recovery rates on corporate defaults can be volatile and, moreover, that they tend to go down just when the number of defaults goes up in economic downturns.(...)

This is an updated and revised paper from the authors´ report on An Analysis and Critique of the BIS Proposal on Capital Adequacy and Ratings [S-CDM-00-02] (submitted to the BIS and published in the Journal of Banking & Finance 25:1 January, 2001).(...)

This paper discusses two of the primary motivating influences on the recent development/revisions of credit scoring models, - the important implications of Basel II’s proposed capital requirements on credit assets and the enormous amounts and rates of defaults and bankruptcies in the United...

This paper has examined two specific aspects of stage 1 of the (BIS´s) Bank for International Settlement´s proposed reforms to the 8% risk-based capital ratio.(...)