PAC Capital Impact

PAC Capital Impact translates PAC-conditioned event sets into capital-relevant tail metrics under the same event set.

What it computes

• VaR
• TVaR / Expected Shortfall
• capital multiplier
• extreme-event mass
• low/high structural-capacity regime segmentation

What it produces

• capital_impact_report.json
• capital_impact_sheet.md
• PDF-ready one-page sheet

Interpretation

PAC does not uniformly increase tail risk. It redistributes effective extreme-event weight according to structural capacity. Depending on event/regime alignment, VaR or TVaR may increase, decrease, or remain approximately unchanged.

Boundary

It is not a pricing model, regulatory capital model, forecast output, event generator, or catastrophe model replacement.

Example language

Sample demonstration: PAC changes 99.0% TVaR by -11.61% under the same event set. Extreme-event mass increases by 89.01%, while TVaR decreases, indicating non-uniform, regime-dependent redistribution rather than uniform tail inflation.