This paper conducts an empirical analysis with regard to those methodologies proposed by the Basle Committee for the estimation of the operational capital charge. More specifically, we compare an advanced measurement approach, as the Loss Distribution Approach (LDA), versus the so called...

As part of a broader policy agenda promoting more sustainable financial markets, legislative and policy initiatives within the European Union in recent years have explored the activation of micro-prudential requirements for banks and other financial intermediaries with a view to incentivise...