---
kind: "section"
citation: "12 C.F.R. § 217.162"
title: "12"
number: "217.162"
heading: "Mechanics of risk-weighted asset calculation."
url: "https://uscodex.org/cfr/12/217.162"
---

# §217.162. Mechanics of risk-weighted asset calculation.

- (a) If a Board-regulated institution does not qualify to use or does not have qualifying operational risk mitigants, the Board-regulated institution's dollar risk-based capital requirement for operational risk is its operational risk exposure minus eligible operational risk offsets (if any).
- (b) If a Board-regulated institution qualifies to use operational risk mitigants and has qualifying operational risk mitigants, the Board-regulated institution's dollar risk-based capital requirement for operational risk is the greater of:
  - (1) The Board-regulated institution's operational risk exposure adjusted for qualifying operational risk mitigants minus eligible operational risk offsets (if any); or
  - (2) 0.8 multiplied by the difference between:
    - (i) The Board-regulated institution's operational risk exposure; and
    - (ii) **Eligible operational risk offsets (if any).**
- (c) The Board-regulated institution's risk-weighted asset amount for operational risk equals the Board-regulated institution's dollar risk-based capital requirement for operational risk determined under sections [162(a)](/cfr/12/162.md?p=a) or [(b)](/cfr/12/162.md?p=b) multiplied by 12.5.

## Notes

### Authority

Authority: 12 U.S.C. 248(a), 321-338a, 481-486, 1462a, 1467a, 1818, 1828, 1831n, 1831o, 1831p-1, 1831w, 1835, 1844(b), 1851, 3904, 3906-3909, 4808, 5365, 5368, 5371, 5371 note, and sec. 4012, Pub. L. 116-136, 134 Stat. 281.

### Source

Source: Reg. Q, 78 FR 62157, 62285, Oct. 11, 2013, unless otherwise noted.