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Hi According to the International Convergence of Capital Measurement and Capital Standards - A Revised Framework - Comprehensive Version: paragraph 707: 707. The counterparty credit risk charge for single name credit derivative transactions in the trading book will be calculated using...

Hi How could I determine the RWA amount for defaulted exposures under the FIRB approach? Under AIRB approach, the calculation considers the BestEstimate_LGD, like this: RWA = 12.5 x EAD x (LGD - BestEstimated_LGD) - I understood that this formula applies only for AIRB, because under the...