Under which model does an FI compare its own allocation of loans in any specific area with the national allocations across borrowers to measure the extent to which its loan portfolio deviates from the market portfolio benchmark?

Question

Quizplus · Accepted Answer

The loan volume-based model is used to compare an FI's loan portfolio allocation with the national allocations across borrowers to measure the extent to which its loan portfolio deviates from the market portfolio benchmark. This model compares the FI's loan allocation by volume to the national allocation by volume.

Under Which Model Does an FI Compare Its Own Allocation