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hi I love another love Ozma back theres Private Limited in this video of American Pacific details on a VCR this is a new standardized approach for competing exposure amounts of the derivative contracts I would like to further elaborate on this issue so lets start my understanding what is s is so SSE CR is a new methodology to compute the exposure amount of derivative contract the BCBS 2:39 published it in March of 2014 where the US Fed published the proposal in December of 2018 it is mainly used because CEM SM and IMM has some drawbacks CM are not risk sensitive SM is not much in use and IMM is applicable only for advanced approach banks its also very complex and has some stringent approval requirements talking about the key issues of CEM firstly theres no differentiation of margin and unmatching transactions well a transaction where variable margin is exchanged is called as a margin transaction when theres no variation margin exchanged then it is termed as unmodern transaction le