Counterparty credit risk
- Japanese
- カウンターパーティ・クレジットリスク
- Also known as
- CCR
- Last reviewed
- September 26, 2026
This is a draft, shown for review before publication.
Counterparty credit risk is the risk that the counterparty to a derivative or similar transaction fails before the transaction is fully settled. You then lose the value you expected to receive on a transaction with a positive value. Unlike the credit risk of a loan, the amount at risk changes with the market, and either party to the transaction can be the one exposed.
Related terms
Explained in detail
Pages that use this term
- How Regional Banks Use Derivatives
- Overnight Index Swaps (OIS)
- Basis Swaps
- Callable Swaps
- Synthetic CDOs and Tranches
- Inflation Caps and Floors
- Longevity Swaps
- Freight Derivatives (FFA)
- Exposure Measures: CE, PFE, EE/EPE and EAD
- Exposure Profiles by Product
- Risk Reduction through Netting and Collateral
- Credit Limit Management
- Overview of the Regulatory Treatment of Counterparty Risk
- Counterparty Risk and XVA
- Funding Variation and Initial Margin
- Handling Margin Calls
- Rogue Trading Cases: Barings, Societe Generale and Others
- Risk-Weighted Assets (RWA)
- Capital Valuation Adjustment (KVA)
- KYC and Credit Review
- Lifecycle Event Processing
- Daily Risk Management Operations
- Collateral Operations
- Intragroup Back-to-Back Trades
- Fair Value Measurement: IFRS 13, ASC 820 and the Fair Value Hierarchy
- The ISDA Master Agreement and Schedule
- Close-Out Netting
- Portfolio Reconciliation
- Supervisory Guidelines of the Financial Services Agency
- Overview of Derivatives Regulation in the EU and UK
- EMIR
- The G20 OTC Derivatives Reforms
- The Basel Framework and Derivatives
- BCBS-IOSCO Margin Requirements for Uncleared Derivatives
- The Standardized Approach for Counterparty Credit Risk (SA-CCR)
- Overview of Derivatives Regulation in Asia-Pacific
- The Collapse of LTCM
- The Collapse of Lehman Brothers (2008)
- Bank Losses from the Archegos Default (2021)