What is DV01 and what is the recognition measure in ifrs 9

Question

Accepted Answer

DV01 is a measure of the change in the price of a bond for a 1 basis point change in yield. Recognition measure in IFRS 9 is Expected Credit Loss (ECL).

DV01 measures the sensitivity of a bond's price to changes in interest rates
It represents the dollar value of a one basis point decrease in yield
IFRS 9 uses Expected Credit Loss (ECL) as the recognition measure for impairment of financial assets
ECL is based on the probability-weighted estimate of credit losses over the expected life of the financial instrument