Capital charges—simplified approach
151. The capital charge for commodities risk of a Bank is the sum of:
(a) 15% of the firm’s overall net position, long or short, in each commodity; and
(b) 3% of the firm’s gross position in each commodity.
151. The capital charge for commodities risk of a Bank is the sum of:
(a) 15% of the firm’s overall net position, long or short, in each commodity; and
(b) 3% of the firm’s gross position in each commodity.