The New Basel Capital Accord

<body stylesrc="../_private/template_title.htm" topmargin="10" leftmargin="10" bgcolor="#FFFFFF" link="#333366" vlink="#000000" alink="#000000"> <div align="left"> <table border="0" cellspacing="0" style="border-collapse: collapse" bordercolor="#111111" width="100%" cellpadding="0" id="table2"> <tr> <td width="780"> <div align="center"> <table border="0" cellpadding="5" cellspacing="0" height="206" style="border-collapse: collapse" bordercolor="#111111" width="100%" id="table3"> <tr> <td align="right" height="198" width="1%"> <p align="left"> <img border="0" src="../images/book_gup_benton_(2004).jpg" width="136" height="200"></td> <td valign="top" align="left" height="198"> <table border="0" cellspacing="1" style="border-collapse: collapse" bordercolor="#111111" cellpadding="0" id="table4"> <tr> <td colspan="3" width="0%"> <p class="book_title">The New Basel Capital Accord</td> </tr> <tr> <td width="1%" class="book_details_tags" valign="top" height="16" align="left"> <img border="0" src="../images/blank_2x2.gif" width="2" height="2"><img border="0" src="../images/blank_2x2.gif" width="2" height="2"></td> <td width="52%" class="book_details_tags" valign="top" height="144" align="left" rowspan="9"> <map name="FPMap2"> <area href="../main/ratings.htm" shape="rect" coords="73, 0, 164, 33"> </map> <img border="0" src="../images_title/gup_be41.gif" usemap="#FPMap2" width="198" height="158"></td> <td class="book_details" valign="top" height="16" align="left" width="50%"> </td> </tr> <tr> <td width="1%" class="book_details_tags" valign="top" height="16" align="left"> </td> <td class="book_details" valign="top" height="16" align="left" width="50%"> </td> </tr> <tr> <td width="1%" class="book_details_tags" valign="top" height="16" align="left"> </td> <td class="book_details" valign="top" height="16" align="left" width="50%"> </td> </tr> <tr> <td width="1%" class="book_details_tags" valign="top" height="16" align="left"> </td> <td class="book_details" valign="top" height="16" align="left" width="50%"> </td> </tr> <tr> <td width="1%" class="book_details_tags" valign="top" height="16" align="left"> </td> <td class="book_details" valign="top" height="16" align="left" width="50%"> </td> </tr> <tr> <td width="1%" class="book_details_tags" valign="top" height="16" align="left"> </td> <td class="book_details" valign="top" height="16" align="left" width="50%"> </td> </tr> <tr> <td width="1%" class="book_details_tags" valign="top" height="16" align="left"> </td> <td class="book_details" valign="top" height="16" align="left" width="50%"> </td> </tr> <tr> <td width="1%" class="book_details_tags" valign="top" height="16" align="left"> </td> <td class="book_details" height="32" align="center" width="50%" rowspan="2"> </td> </tr> <tr> <td width="1%" class="book_details_tags" valign="top" height="16" align="left"> </td> </tr> </table> </td> </tr> </table> <table border="0" cellpadding="10" cellspacing="0" style="border-collapse: collapse" bordercolor="#111111" width="468" id="table5"> <tr> <td> <script type="text/javascript"></script> <script type="text/javascript" src="http://pagead2.googlesyndication.com/pagead/show_ads.js"> </script> </td></tr> </table> </div> <table border="0" cellpadding="5" cellspacing="0" style="border-collapse: collapse" bordercolor="#111111" width="100%" id="table6"> <tr> <td width="50%" valign="top"> <p align="left" class="body"><strong style="font-weight: 400">This outstanding edited collection introduces the Basel II accord on bank capital requirements, places it in an historical perspective, describes its provisions and implementation, and uses it as a jump-off point for discussing financial institutions regulation generally. </strong></p> <table border="0" cellpadding="0" cellspacing="0" style="border-collapse: collapse" bordercolor="#111111" width="125" align="left" id="table7"> <tr> <td width="120"> <script type="text/javascript"></script> <script type="text/javascript" src="http://pagead2.googlesyndication.com/pagead/show_ads.js"> </script> </td><td width="5"> </td> </tr> </table> <p align="left" class="body"><strong style="font-weight: 400">Chapters are scholarly, accessible, and generally very insightful. For the most part, they are not mathematical, but calculus makes an appearance or two. The book is targeted primarily to regulators, policy makers and academics, but I highly recommend it to anyone with an interest in Basel II or financial institutions regulation. While the book is sophisticated, it is largely self contained. Some prior familiarity with bank capital calculations would be helpful—see Matten (<a href="../titles/matten_c_(2000).htm">2000</a>). Otherwise, the book should be accessible to most finance professionals or theorists. </strong></p> <p align="left" class="body"><strong style="font-weight: 400">The book differs from Ong's (<a href="../titles/ong_michael_(2004).htm">2004</a>) edited collection in two respects. First, Ong is written for implementers—finance professionals and regulators who are struggling to make Basel II work. Gup is more about policy and high-level issues. Second, Ong assumes considerable prior knowledge of Basel II. Gup does not. If you are new to Basel  II or have only passing familiarity with its provisions, Gup can help you get oriented before proceeding to Ong.</strong></p> <p align="center" class="body"> </p> </td> <td width="50%" valign="top" class="body"> <table border="0" cellpadding="0" cellspacing="0" style="border-collapse: collapse" bordercolor="#111111" width="100%" id="table8"> <tr> <td width="100%" bgcolor="#333366"> <p class="header_yellow" align="center">Contents</td> </tr> <tr> <td width="100%" class="explanatory_text"> <table border="1" cellpadding="0" cellspacing="5" style="border-collapse: collapse" bordercolor="#CCCCFF" bgcolor="#CCCCFF" width="100%" id="table9"> <tr> <td class="contents_expanded"> <p class="contents" style="margin-top: 14; margin-bottom: 9">1. Introduction to the Basel Capital Accords</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">2. The New Basel Capital Accord: is 8% adequate?</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">3. Why and how banks fail - would 8% capital make a difference?</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">4. Basel II: the roar that moused</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">5. Basel II creates an uneven playing field</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">6. Market discipline: is it fact or fiction?</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">7. The New Basel Capital Accord and questions for research</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">8. The New Basel Capital Accord and advanced IRB approaches: is there a case for capital incentives?</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">9. Pro-cyclicality, banks' reporting discretion, and "safety in similarity"</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">10. The inadequacy of capital adequacy policies for financial institution regulation</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">11. Bank lending and the effectiveness of monetary policy under a revised Basel Accord</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">12. Is the New Basel Accord incentive compatible?</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">13. Optionality and Basel II</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">14. The impact of the Basel II Capital Accord on Australian banks</p> <p class="contents" style="margin-top: 9; margin-bottom: 9">15. Basel skepticism: from a Hungarian perspective</p> <p class="contents" style="margin-top: 9; margin-bottom: 14">16. The New Basel Capital Accord and its impact on Japanese banking: a qualitative analysis</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <div align="left"> <table border="0" cellpadding="10" cellspacing="0" style="border-collapse: collapse" bordercolor="#111111" width="100%" id="table10"> <tr> <td width="50%" bgcolor="#FFFFCC" align="center"> <table border="0" cellpadding="0" cellspacing="0" style="border-collapse: collapse" bordercolor="#111111" bgcolor="#FFFFCC" id="table11"> <tr> <td> <p class="body" style="margin-bottom: 6"><b><font color="#333366" size="3">For related books, see sections:</font></b></p> <p class="bullet" style="margin-top: 5; margin-bottom: 5"> <img border="0" src="../images/bullet.gif" width="20" height="10"><a target="_top" href="../link_topic/other_functions_regulation.htm">Other Functions - Regulation</a></p> <p class="bullet" style="margin-top: 5; margin-bottom: 5"> <img border="0" src="../images/bullet.gif" width="20" height="10"><a target="_top" href="../link_topic/risk_management_capital_allocation.htm">Risk Management - Capital Allocation</a></td> </tr> </table> </td> <td width="50%" bgcolor="#CCCCFF" align="left" valign="top"> <script type="text/javascript"></script> <script type="text/javascript" src="http://pagead2.googlesyndication.com/pagead/show_ads.js"> </script> </td></tr> </table> </div> </td> <td>  </td> </tr> </table> </div>  <table border="0" style="border-collapse: collapse" width="100%" cellpadding="0" id="table1" bgcolor="#FFFFFF"> <tr> <td colspan="2" height="12"> <p style="margin-top: 0"> </td> </tr> <tr> <td align="right"> <p align="left" style="margin-bottom: 2px"> <a target="_top" href="http://www.riskexpertise.com/link/advertising.htm"> <font size="1" color="#000000" face="Arial">Ads by Contingency Analysis.</font></a></td> <td align="left"> <p align="right" style="margin-bottom: 2px"> <a target="_top" href="http://www.riskexpertise.com/link/advertising.htm"> <font size="1" color="#000000" face="Arial">Advertise on this site.</font></a></td> </tr> <tr> <td align="center" colspan="2">  <iframe src="http://servedbyadbutler.com/adserve/;ID=147917;size=300x250;setID=93136;type=iframe" allowtransparency="true" background-color="transparent" style="margin: 0px; padding: 0px; border-width: 0px" width="300" height="250" frameborder="0" marginwidth="0" marginheight="0" scrolling="no"> <![if lt IE 4]> <script src="http://servedbyadbutler.com/adserve/;ID=147917;size=300x250;setID=93136;type=js" type="text/javascript"> </script> <noscript> <a href="http://servedbyadbutler.com/go2/;ID=147917;size=300x250;setID=93136"> <img src="http://servedbyadbutler.com/adserve/;ID=147917;size=300x250;setID=93136;type=img" border="0" height="250" width="300" alt=""></a> </noscript><![endif]> </iframe>   </td> </tr> </table> <p align="center" style="margin-top: 20"> <map name="FPMap0_I1"> <area href="http://www.riskbook.com" shape="rect" coords="0, 0, 184, 29" target="_top"></map> <img border="0" src="../images/open_book_riskbook.gif" usemap="#FPMap0_I1" width="185" height="30"></p> <p class="a" align="center"><font face="Arial" size="2"><a href="../main/disclaimer.htm">disclaimer</a></font></p> <p class="a" align="center"><span class="verdana10">website:</span> <a target="_top" href="http://www.contingencyanalysis.com"> <font size="2" face="Arial">http://www.contingencyanalysis.com</font></a><br> <span class="verdana10">books direct link:</span> <a target="_top" href="http://www.riskbook.com"><font size="2" face="Arial">http://www.riskbook.com</font></a><br> copyright <font face="Times New Roman">©</font> Contingency Analysis, 1996 - current</p> <p class="a" align="center"><map name="FPMap1_I1"> <area target="_top" href="http://www.contingencyanalysis.com" shape="rect" coords="0, 0, 240, 88"> </map><img border="0" src="../images/logo_book_white.gif" usemap="#FPMap1_I1" width="241" height="89"></p>  </body>