11. Practical problem: use your knowledge in practice. Find "Basel Interest rate risk in the banking book" published on April 2016 by BIS. Find Figure 1 that breaks down interest rate into its components for 3 categories of consumer loans, corporate loans, and interest-earning securities. What is BIS? b. What are the 3 major premiums (top ups) and their associated risks on the top of the risk-free rate for interest? Hint: spread and premium refer to the same concept. What are items in consumer loans that are analogous to risk-free rate and its duration in interest earning securities? d. What are items in corporate loans that are analogous to risk-free rate and its duration in interact C.

Practical problem: use your knowledge in practice. Find "Basel interest rate risk in the banking book" published on April 2016 by BIS. Find Figure 1 that breaks down interest rate into its components for 3 categories of consumer loans, corporate loans, an interest-earning securities. a. What is BIS? b. What are the 3 major premiums (top ups) and their associated risks on the top of the risk-free rate for interest? Hint: spread and premium refer to the same concept. c. What are items in consumer loans that are analogous to risk-free rate and its duration in interest earning securities? d. What are items in corporate loans that are analogous to risk-free rate and its duration in