LCR

the required liquidity buffer for 30 days of outflow

In more detail

The liquidity requirement: the store of easily sold property has to cover the outflow expected over 30 days of siege.

It was invented because a bank dies not from a loss but from having nothing to pay with on one particular day.

Covered in the primer of chapter 12.

In the academy “LCR” is not a definition but an operation: you post it yourself and watch what it does to the balance sheet.

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