QIS 3 Frequently Asked Questions

Supervisors and banks have raised the following issues since the distribution of the Basel Committee's Quantitative Impact Study 3 (QIS 3). These FAQs are intended to facilitate the completion of the QIS survey and should not be construed as a official interpretation of the final Accord. The proposed Accord reforms, their interpretation and ultimate implementation by national supervisors remain subject to change from the on-going consultative process, of which QIS 3 is an essential component.

Questions and answers by category:

• A. General (Updated 19 December 2002)
• B. Trading book (Updated 3 December 2002)
• C. Standardised Approach (Updated 8 November 2002)
• D. National Discretion (Updated 15 October)
• E. Credit Risk Mitigation (Updated 5 December 2002)
• F. Definition of Default/Loss (Updated 17 October 2002)
• G. Maturity (Updated 30 October 2002)
• H. Operational Risk (Updated 14 November 2002)
• I. IRB-inputs: PD, LGD and EAD (Updated 7 November 2002)
• J. Provisions (Updated 24 October 2002)
• K. Purchased Receivables (Updated 15 October)
• L. Retail Exposures (Updated 19 December 2002)
• M. Scope of Application
• N. SMEs (Updated 8 November 2002)
• O. Equities and Investments (Updated 24 October 2002)
• P. Securitisations (Updated 20 December 2002)
• Q. Specialised lending (Updated 21 November 2002)
• R. Examples (Updated 5 December 2002)

All questions and answers in one document: Read PDF (53 pages, 335 kb) (Updated 18 December)

Initial version of 11 October 2002: Read PDF (13 pages, 63 kb)