regulatory capital requirements

What is the simple to understand explanation/rationale behind the Basle Committee specification for multiple of 3 times the 99% confidence 10-day VaR as minimum regulatory market risk capital for investement banks, etc? I am curious about the explanation both in quantative and qualitative...

Learning outcomes: Define in the context of Basel III and calculate where appropriate: Tier 1 capital and its components; Tier 2 capital and its components; Required Tier 1 equity capital, total Tier 1 capital, and total capital. Describe the motivations for and calculate the capital...