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西班牙留学生金融学论文定制Evaluation and Recommendations For the Credit and Market Risk Management upon the Toughening Of the Basel III Bank Rules
1. Introduction
As the world Finance is being fully integrated because of the intensive cooperation between different regions and among different financial organizations, the making of a widely agreed regulation to supervise the world financial organizations is important and necessary (Kennedy and Deen, 2010). The Basel Accords can be regarded as such a regulation which aims at setting up a minimum standard for supervising the performance of the financial organizations in the world. Basel III is the latest updated version of the Basel Accords that strives to improve the existing rules by placing stricter limitations on such fields as common equity, counterparty credit risk, leverage ratio and counter-cyclical capital buffers so and so forth. These new limitations can be considered as a stricter supervision on world financial organizations in case of the possibility of financial crisis that might seriously endanger the world financial system.  By using the Basel III framework in supervising the international financial organizations, it is more likely for these organizations to predict and identify the latent risks they might be confronted with (Melloan, 2010). So, by and large, Basel III enhances the potentiality of the world finance to develop healthily and safely at the present time when the world finance has been integrated intensively.

2. Major contents and impacts of Basel III
2.1 Major contents of Basel III
In practice, the framework of Basel III is a supervision standard that supervises the international finance. The core of this accord is the requirement of sufficient cash reserves for the international financial organizations to cover the possible loss caused by unexpected financial crisis. It implies that by prescribing regulations and giving recommendations to the making of financial laws, the BSBS (the Basel Committee on Banking Supervision) can effectively prevent the world banking system from being seriously violated (Walter and Becker, 2005). As far as the content of the updated Accords is concerned, Basel III offers a more complex model for the calculation of capitals of international banks. Basically, the new system conducts a wider range of bank assets so as to guarantee the possibility of international banks to handle financial risks on large scale. Basel III also requires these financial organizations to publicize the measures to deal with risky investments and also their management tools in case of financial crisis. The following are considered to be the essential requirements of the framework of Basel III:
I. Capital allocations of the financial organizations ought to be risk sensitive.
II. There should be a separation between the credit risks and the operational risks.
III. There should be a tighter definition of common equity. By 2015, banks should hold at least 4.5% of the common equity and a total of 7% the next year.
IV. Clear introduction of the leverage ratio is required.
V. A framework for counter-cyclical capital buffers should be explicitly made.
VI. There should be stronger measures taken by international banks to place limitations on counterparty credit risk.
2.2 Impacts upon world credit

References:
Kris James Mitchener and Makoto Kasuya (editor), ( 2009) Coping with Crisis: Internationa本论文由英语论文网提供整理，提供论文代写，英语论文代写，代写论文，代写英语论文，代写留学生论文，代写英文论文，留学生论文代写相关核心关键词搜索。