
Explanation:
The correct answer is C. Financial measures.
In designing a Contingency Funding Plan (CFP), early warning indicators (EWIs) are crucial for identifying emerging liquidity stress. According to best practices and regulatory guidelines in liquidity risk management, these indicators are typically categorized into three main structural groups to ensure a comprehensive view of potential stress:
"Financial measures" is not classified as a distinct category of early warning indicators within standard CFP frameworks, as specific financial metrics are intrinsically subsumed under institution-specific measures.
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Q.4073 When designing a CFP, monitoring and escalation is a key component of the CFP framework. In the framework, Institutions are required to define early warning indicators using market and business factors. Which of the following factors is NOT a potential factor considered?
A
Macro-environment measures
B
Industry measures
C
Financial measures
D
Institution-specific measures
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