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Which of the following statements is TRUE for the Basel III capital adequacy fra...

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Which of the following statements is TRUE for the Basel III capital adequacy framework?

The Basel III capital framework consists of three mutually reinforcing pillars.

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Pillar 2 deals with market discipline.

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Pillar 3 deals with the supervisory review process.

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All of the above are correct.

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Pillar 1 deals with the calculation of regulatory capital against FIs’ credit risk only.

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