cb_haircut

The cb_haircut attribute is the haircut applied by the relevant central bank to the asset value when determining how much liquidity or collateral value can be recognised and is a number between 0 and 1.

In the Eurosystem framework, Guideline (EU) 2016/65, Article 1(1)–(2) provides for valuation haircuts on eligible marketable assets and identifies the factors used to determine them. FIRE stores the haircut applied by the relevant central bank as a fraction; for example, a 10% haircut is stored as 0.10.