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Modeling the impact of the volatility of the perceived counterparty credit risk on hedge accounting effectiveness

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Resumo:The recent publication of IFRS 9 facilitates the use of hedge accounting, although some challenges arise as well. Hedge effectiveness is to be more align with risk management meaning that hedge accounting ineffectiveness will now be only related to factors such as counterparty credit risk whenever uncollateralized derivatives are to be used as hedge instruments. This master thesis is concerned with what may go wrong in a designated hedging relationship due to CVA and DVS volatility. Using Monte Carlo simulations and regression analysis the probability of hedging ineffectiveness as a function of probability of default perceived implied volatility is to be modelled.
Autores principais:Neto, José Eduardo Justo
Assunto:Hedge accounting Credit valuation adjustment (CVA) Default correlation Contabilidade de cobertura Ajuste de Avalição de Crédito (CVA) Correlação de default
Ano:2019
País:Portugal
Tipo de documento:dissertação de mestrado
Tipo de acesso:acesso aberto
Instituição associada:Universidade Nova de Lisboa
Idioma:inglês
Origem:Repositório Institucional da UNL
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author Neto, José Eduardo Justo
author_facet Neto, José Eduardo Justo
author_role author
contributor_name_str_mv Bravo, Jorge Miguel Ventura
RUN
country_str PT
creators_json_txt [{\"Person.name\":\"Neto, José Eduardo Justo\"}]
datacite.contributors.contributor.contributorName.fl_str_mv Bravo, Jorge Miguel Ventura
RUN
datacite.creators.creator.creatorName.fl_str_mv Neto, José Eduardo Justo
datacite.date.Accepted.fl_str_mv 2019-05-03T00:00:00Z
datacite.date.available.fl_str_mv 2019-07-02T13:21:56Z
datacite.date.embargoed.fl_str_mv 2019-07-02T13:21:56Z
datacite.rights.fl_str_mv http://purl.org/coar/access_right/c_abf2
datacite.subjects.subject.fl_str_mv Hedge accounting
Credit valuation adjustment (CVA)
Default correlation
Contabilidade de cobertura
Ajuste de Avalição de Crédito (CVA)
Correlação de default
datacite.titles.title.fl_str_mv Modeling the impact of the volatility of the perceived counterparty credit risk on hedge accounting effectiveness
dc.contributor.none.fl_str_mv Bravo, Jorge Miguel Ventura
RUN
dc.creator.none.fl_str_mv Neto, José Eduardo Justo
dc.date.Accepted.fl_str_mv 2019-05-03T00:00:00Z
dc.date.available.fl_str_mv 2019-07-02T13:21:56Z
dc.date.embargoed.fl_str_mv 2019-07-02T13:21:56Z
dc.format.none.fl_str_mv application/pdf
dc.identifier.none.fl_str_mv http://hdl.handle.net/10362/74239
dc.language.none.fl_str_mv eng
dc.rights.cclincense.fl_str_mv http://creativecommons.org/licenses/by/4.0/
dc.rights.none.fl_str_mv http://purl.org/coar/access_right/c_abf2
dc.subject.none.fl_str_mv Hedge accounting
Credit valuation adjustment (CVA)
Default correlation
Contabilidade de cobertura
Ajuste de Avalição de Crédito (CVA)
Correlação de default
dc.title.fl_str_mv Modeling the impact of the volatility of the perceived counterparty credit risk on hedge accounting effectiveness
dc.type.none.fl_str_mv http://purl.org/coar/resource_type/c_bdcc
description The recent publication of IFRS 9 facilitates the use of hedge accounting, although some challenges arise as well. Hedge effectiveness is to be more align with risk management meaning that hedge accounting ineffectiveness will now be only related to factors such as counterparty credit risk whenever uncollateralized derivatives are to be used as hedge instruments. This master thesis is concerned with what may go wrong in a designated hedging relationship due to CVA and DVS volatility. Using Monte Carlo simulations and regression analysis the probability of hedging ineffectiveness as a function of probability of default perceived implied volatility is to be modelled.
dirty 0
eu_rights_str_mv openAccess
format masterThesis
fulltext.url.fl_str_mv https://run.unl.pt/bitstreams/4e822b05-090e-421b-b735-d96af064df89/download
id run_9fcbc77cd294b302c4e96c26ecd5dd48
identifier.url.fl_str_mv http://hdl.handle.net/10362/74239
inst_facet_str urn:organizationAcronym:unl{{{_:::_}}}Universidade Nova de Lisboa
instacron_str unl
institution Universidade Nova de Lisboa
instname_str Universidade Nova de Lisboa
language eng
network_acronym_str run
network_name_str Repositório Institucional da UNL
oai_identifier_str oai:run.unl.pt:10362/74239
organization_str_mv urn:organizationAcronym:unl
person_str_mv Neto, José Eduardo Justo
publishDate 2019
repo_facet_str urn:repositoryAcronym:run{{{_:::_}}}Repositório Institucional da UNL
reponame_str Repositório Institucional da UNL
repository_id_str urn:repositoryAcronym:run
service_str_mv urn:repositoryAcronym:run
spelling engpt_PTThe recent publication of IFRS 9 facilitates the use of hedge accounting, although some challenges arise as well. Hedge effectiveness is to be more align with risk management meaning that hedge accounting ineffectiveness will now be only related to factors such as counterparty credit risk whenever uncollateralized derivatives are to be used as hedge instruments. This master thesis is concerned with what may go wrong in a designated hedging relationship due to CVA and DVS volatility. Using Monte Carlo simulations and regression analysis the probability of hedging ineffectiveness as a function of probability of default perceived implied volatility is to be modelled.application/pdfpt_PTModeling the impact of the volatility of the perceived counterparty credit risk on hedge accounting effectivenessNeto, José Eduardo JustoBravo, Jorge Miguel VenturaHostingInstitutionOrganizationalRUNe-mailmailto:run@unl.ptrun@unl.ptURNurn:tid:2022587692019-07-02T13:21:56Z2019-05-032019-05-03T00:00:00ZHandlehttp://hdl.handle.net/10362/74239http://purl.org/coar/access_right/c_abf2open accessHedge accountingCredit valuation adjustment (CVA)Default correlationContabilidade de coberturaAjuste de Avalição de Crédito (CVA)Correlação de default1674083 bytesliteraturehttp://purl.org/coar/resource_type/c_bdccmaster thesis2019-05-03http://creativecommons.org/licenses/by/4.0/http://purl.org/coar/access_right/c_abf2application/pdffulltexthttps://run.unl.pt/bitstreams/4e822b05-090e-421b-b735-d96af064df89/download
spellingShingle Modeling the impact of the volatility of the perceived counterparty credit risk on hedge accounting effectiveness
Neto, José Eduardo Justo
Hedge accounting
Credit valuation adjustment (CVA)
Default correlation
Contabilidade de cobertura
Ajuste de Avalição de Crédito (CVA)
Correlação de default
status SINGLETON
subject.fl_str_mv Hedge accounting
Credit valuation adjustment (CVA)
Default correlation
Contabilidade de cobertura
Ajuste de Avalição de Crédito (CVA)
Correlação de default
title Modeling the impact of the volatility of the perceived counterparty credit risk on hedge accounting effectiveness
title_full Modeling the impact of the volatility of the perceived counterparty credit risk on hedge accounting effectiveness
title_fullStr Modeling the impact of the volatility of the perceived counterparty credit risk on hedge accounting effectiveness
title_full_unstemmed Modeling the impact of the volatility of the perceived counterparty credit risk on hedge accounting effectiveness
title_short Modeling the impact of the volatility of the perceived counterparty credit risk on hedge accounting effectiveness
title_sort Modeling the impact of the volatility of the perceived counterparty credit risk on hedge accounting effectiveness
topic Hedge accounting
Credit valuation adjustment (CVA)
Default correlation
Contabilidade de cobertura
Ajuste de Avalição de Crédito (CVA)
Correlação de default
topic_facet Hedge accounting
Credit valuation adjustment (CVA)
Default correlation
Contabilidade de cobertura
Ajuste de Avalição de Crédito (CVA)
Correlação de default
url http://hdl.handle.net/10362/74239
visible 1