CP3 Comment: Why be standardised?

It was always accepted that the standardised approach (STA) in operational risk was not especially - or at all - risk sensitive. It was, though, a refinement of the basic indicator approach (BIA) and an aspiration and step on the way to the advanced measurement approach (AMA), if that was what a bank wanted. Equally, it could be a good resting place.

Qualifying criteria
In the third quantitative impact study (QIS3), the qualifying criteria were set at a reasonable level. Indeed "reasonableness

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