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CA-5.2.3

Some banks may use different classifications to those listed above in their internal risk management and measurement systems. While it is not the intention of the CBB to require banks to change the way in which they manage their business and risks, banks are required to apply the appropriate treatment to each exposure for the purposes of deriving their minimum capital requirement. Banks must demonstrate to CBB that their methodology for assigning exposures to different classes is appropriate and consistent over time.

Apr 08