eprintid: 10163530 rev_number: 12 eprint_status: archive userid: 699 dir: disk0/10/16/35/30 datestamp: 2023-04-25 16:54:23 lastmod: 2023-04-25 16:54:23 status_changed: 2023-04-25 16:54:23 type: article metadata_visibility: show sword_depositor: 699 creators_name: Mitic, Peter creators_name: Bloxham, Nicholas title: A central limit theorem formulation for empirical bootstrap value-at-risk ispublished: pub divisions: UCL divisions: B04 divisions: C05 divisions: F48 keywords: Loss distribution, Model validation, Operational risk capital, Value-at-risk (VAR), Original research note: This version is the version of record. For information on re-use, please refer to the publisher’s terms and conditions. abstract: ABSTRACT In this paper, the importance of the empirical bootstrap (EB) in assessing minimal operational risk capital is discussed, and an alternative way of estimating minimal operational risk capital using a central limit theorem (CLT) formulation is presented. The results compare favorably with risk capital obtained by fitting appropriate distributions to the same data. The CLT formulation is significant in validation because it provides an alternative approach to the calculation that is independent of both the empirical severity distribution and any dependent fitted distribution date: 2018-03 date_type: published publisher: Infopro Digital Services Limited official_url: https://doi.org/10.21314/JRMV.2018.182 oa_status: green full_text_type: pub language: eng primo: open primo_central: open_green verified: verified_manual elements_id: 2000790 doi: 10.21314/JRMV.2018.182 lyricists_name: Mitic, Peter lyricists_id: PMITI76 actors_name: Mitic, Peter actors_id: PMITI76 actors_role: owner full_text_status: public publication: Journal of Risk Model Validation volume: 12 number: 1 pagerange: 49-83 issn: 1753-9579 citation: Mitic, Peter; Bloxham, Nicholas; (2018) A central limit theorem formulation for empirical bootstrap value-at-risk. Journal of Risk Model Validation , 12 (1) pp. 49-83. 10.21314/JRMV.2018.182 <https://doi.org/10.21314/JRMV.2018.182>. Green open access document_url: https://discovery.ucl.ac.uk/id/eprint/10163530/3/A_central_limit_theorem_formulation.pdf