Conversations about the New Risk Costs
I recently had several interesting conversations with RotoLab honcho Merv Pate. We are grateful that he has been such an advocate for BABS, so I always listen to his ideas and suggestions with great interest. You might be interested in these thoughts as well.
Merv: I am not sure how effective it is to use hard count tabulation on the Asset side of the ledger, while using a risk cost-associated penalty on the Liability side. They seem to be opposite approaches.
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