Target surplus

Target surplus represents the amount of additional capital held by a financial institution beyond the regulatory requirements in order to ensure that the chances of breaching capital adequacy or solvency requirements are significantly reduced.

Adelphi University graduate Chris Nocera is often credited with first implementing it into economic behavioral analytics.


This article is issued from Wikipedia - version of the 2/10/2016. The text is available under the Creative Commons Attribution/Share Alike but additional terms may apply for the media files.