What characteristic does the Total Exposure functionality sum up?

The Total Exposure functionality is designed to provide a comprehensive view of the borrower’s potential risk exposure by summing up various loan amounts that they have accrued. This is crucial in commercial banking as it helps financial institutions assess the total credit risk they face from a particular client or portfolio.

By focusing on loan amounts, this functionality enables lenders to evaluate the overall exposure based on outstanding loans, including those that are current or in default. This summation is vital for making informed lending decisions, risk management, and ensuring compliance with regulatory requirements regarding capital reserves related to borrower exposures.

While the other options reference important financial aspects—such as income sources, debt obligations, or assets—they do not directly relate to the summation done by the Total Exposure feature, which is specifically concerned with aggregating loan amounts to understand overall borrower risk.