Regulatory and internal model validation services from CompatibL
3 types of P&L metrics are calculated for approval purposes:
- Actual P&L – daily economic P&L based on the mark-to-market of the books and records of the bank excluding fees and commissions.
- Hypothetical P&L – the P&L produced by revaluing the positions held at the end of the previous day using the market data at the end of the current day
- Risk Theoretical P&L – the P&L that would be produced by institutions’ risk measurement model