Migration Analysis Is a Method to Measure Loan Concentration Risk

question 9

True/False

Migration analysis is a method to measure loan concentration risk by tracking credit ratings of firms in particular sectors or ratings class for unusual declines.

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Definitions:

Convenience Store

A small retail business that sells everyday items such as snacks, beverages, and household goods, and is often open long hours for consumer convenience.

Prejudice

A negative attitude based on learned notions about members of selected groups, based on their physical, social, or cultural characteristics.

French People

The citizens or natives of France, known for their diverse culture, history, and contributions to art, philosophy, and global cuisine.

Prejudice

A preconceived opinion that is not based on reason or actual experience, often leading to unjust discrimination.