Question
Which of the following statement with respect to Risk weight for banks is correct? I. The risk weight is a function of the risk perception the RBI has on loans for different sectors. II. Risk weight is capital required to be set aside, stipulated by the Reserve Bank of India for banks III. Risk Weighted Assets (RW
- A comes from the Basel Norms for regulating Bank's capital requirement for managing credit risk. IV. A corporate bond with medium/long term duration of a company presenting negative losses during the last few years, and a BBB rating will provide lower RWA than company having AAA rating
More Financial Management Questions
- What action should lenders take when a stressed loan is transferred to an ARC at a price below the Net Book Value (NBV)?
- The concept of ‘resident unit’ involved in the definition of GDP denotes
- What is the standard range of tenors or maturities available for typical Dated Government Securities issued in India?
- In a normal distribution, what percentage of observations lie within one standard deviation of the mean?
- In which of the following scenarios is an account classified as 'Loss Asset'?
- Under Basel III, the Liquidity Coverage Ratio (LCR) requires banks to hold high-quality liquid assets (HQLA) to meet liquidity needs for how many days in a...
- In which of the following situations is it advisable for an investor to buy a bond?
- Derivatives can be used to hedge the risk. A person can protect himself from downside risk by entering into which of the following position?
- Which of the following carries lowest risk weight?
- In case of banks deals with Mutual Funds, which combination among the following will be applicable for the regulatory Purposes?
Relevant for Exams:
Hey! Ask a query
Please enter email id
The email must be a valid email address.
Please enter Mobile Number
Please enter valid Mobile Number
Please enter your Doubt
Think You're Ready for RBI Grade B?
RBI Grade B 2026 Phase 1 Memory Based Paper
- 200 Questions with Detailed Solutions
- Section-wise Coverage (GA, English, Quant & Reasoning)