State Street, UBS and TD Group incur VAR breaches
Backtesting exceptions cause TD Group's and State Street's market risk capital charge multipliers to climb
State Street and the US units of TD Group and UBS all reported value-at-risk backtesting exceptions in Q2, as a result of larger-than-expected trading losses.
UBS and State Street incurred one breach each, bringing their totals for the last 12 months to one and five, respectively, whereas TD Group racked up three, for a 12-month total of five.
By exceeding four VAR backtesting exceptions in a year, both State Street and TD Group saw the multiplication factor applied to their VAR-based market
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