Expected Loss (EL)

Category: Credit Risk · Abbreviation: EL

What is Expected Loss?

Average loss expected to occur over a given time period, calculated as PD × LGD × EAD.

Related terms

• UL
• Credit Risk
• PD

More Credit Risk terms

• Collateral
• Concentration Risk
• Counterparty Credit Risk (CCR)
• Credit Risk
• Credit Value Adjustment (CVA)
• Debt Value Adjustment (DVA)

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