Main Profile

At A Glance

What determines loss given default (LGD)?

Yesterday I reviewed the beta distribution used to characterize the LGD random variable (recovery/loss conditional on default). According to de Servigny (Chapter 4), the key determinants of recovery are: Seniority, Industry, Business cycle, Collateral, Jurisdiction, and Bargaining power.
Length: 01:50

Contact

Questions about What determines loss given default (LGD)?

Want more info about What determines loss given default (LGD)?? Get free advice from education experts and Noodle community members.

  • Answer

Ask a New Question