86 Amendments of Gianna GANCIA related to 2021/0342(COD)
Amendment 366 #
Proposal for a regulation
Recital 46
Recital 46
Amendment 372 #
Proposal for a regulation
Article 1 – paragraph 1 – point 1 – point b
Article 1 – paragraph 1 – point 1 – point b
Regulation (EU) No 575/2013
Article 4 – paragraph 1 – point 18 – point b
Article 4 – paragraph 1 – point 18 – point b
(b) operational leasing, factoring, the management of unit trusts, the ownership or management of property, the provision of data processing services or any other activity that is ancillary to banking; those activities are taken into account if the activity is mainly provided to the parent undertaking;
Amendment 381 #
Proposal for a regulation
Article 1 – paragraph 1 – point 1 – point b
Article 1 – paragraph 1 – point 1 – point b
Regulation (EU) No 575/2013
Article 4 – paragraph 1 – point 18 – point c
Article 4 – paragraph 1 – point 18 – point c
Amendment 436 #
Proposal for a regulation
Article 1 – paragraph 1 – point 1 – point x a (new)
Article 1 – paragraph 1 – point 1 – point x a (new)
Regulation (EU) No 575/2013
Article 4 – paragraph 1 – point 146 – introductory part
Article 4 – paragraph 1 – point 146 – introductory part
(x a) In Article 4(1), point 146 is replaced by the following: 146) ‘large institution’ means an institution that is not a social economy entity and meets any of the following conditions: (a) it is a G-SII; (b) it has been identified as an other systemically important institution (O-SII) in accordance with Article 131(1) and (3) of Directive 2013/36/EU; (c) it is, in the Member State in which it is established, one of the three largest institutions in terms of total value of assets; (d) the total value of its assets on an individual basis or, where applicable, on the basis of its consolidated situation in accordance with this Regulation and Directive 2013/36/EU is equal to or greater than EUR 30 billion;;
Amendment 443 #
Proposal for a regulation
Article 1 – paragraph 1 – point 1 – point x b (new)
Article 1 – paragraph 1 – point 1 – point x b (new)
(x b) the following point is inserted: “(146a) ’social economy entity’ means an entity that meets all of the following conditions: a) the entity is not a G-SII; b) the entity and its subsidiaries and affiliated undertakings are linked in accordance with Article 22(7) of Directive 2013/34/EU and applicable national laws address subsidiaries to allocate profits mainly to common interests of members; c) subsidiaries and affiliated undertakings are small and non-complex entities or less significant institutions in accordance with Article 6(4) of Regulation (EU) 1024/2013; d) subsidiaries and affiliated undertakings are bound by national laws for a governance model informed by democratic principles.
Amendment 461 #
Proposal for a regulation
Article 1 – paragraph 1 – point 2 – point b
Article 1 – paragraph 1 – point 2 – point b
Regulation (EU) No 575/2013
Article 5 – point 9 – subparagraph 2 – point d
Article 5 – point 9 – subparagraph 2 – point d
(d) contractual arrangements where the institution is required to assess the creditworthiness of the client immediately prior to deciding on the execution of each drawdowndecision of the institution on the execution of each drawdown is conditional upon assessment of the creditworthiness of the client;
Amendment 466 #
Proposal for a regulation
Article 1 – paragraph 1 – point 2 – point b
Article 1 – paragraph 1 – point 2 – point b
Regulation (EU) No 575/2013
Article 5 – point 9 – subparagraph 2 – point e
Article 5 – point 9 – subparagraph 2 – point e
(e) contractual arrangements that are offered to a corporate entity, including an SME, that isprovided that those counterparties are closely monitored on an ongoing basis.
Amendment 470 #
Proposal for a regulation
Article 1 – paragraph 1 – point 2 – point b
Article 1 – paragraph 1 – point 2 – point b
Regulation (EU) No 575/2013
Article 5 – point 10
Article 5 – point 10
(10) ‘unconditionally cancellable commitment’ means any commitment the terms of which permit the institution to cancel that commitment, to the full extent allowable under consumer protection and related legislation where applicable, at any time without prior notice to the obligor or that effectively provide for automatic cancellation due to deterioration in a borrower's creditworthiness.’;
Amendment 482 #
Proposal for a regulation
Article 1 – paragraph 1 – point 10 – point b a (new)
Article 1 – paragraph 1 – point 10 – point b a (new)
Regulation (EU) No 575/2013
Article 36 – paragraph 1 – point k – point vi (new)
Article 36 – paragraph 1 – point k – point vi (new)
(b a) in paragraph 1, point (k), the following point is added: (vi) CIU exposures in accordance with Article 132(2).
Amendment 516 #
Proposal for a regulation
Article 1 – paragraph 1 – point 19
Article 1 – paragraph 1 – point 19
Regulation (EU) No 575/2013
Article 84 – paragraph 1 – point a – introductory part
Article 84 – paragraph 1 – point a – introductory part
(a) the Common Equity Tier 1 capital of the subsidiary minus the lower of the following:
Amendment 530 #
Proposal for a regulation
Article 1 – paragraph 1 – point 19
Article 1 – paragraph 1 – point 19
Regulation (EU) No 575/2013
Article 84 – paragraph 1 – point a – point i – indent 1
Article 84 – paragraph 1 – point a – point i – indent 1
Amendment 541 #
Proposal for a regulation
Article 1 – paragraph 1 – point 19
Article 1 – paragraph 1 – point 19
Regulation (EU) No 575/2013
Article 84 – paragraph 1 – point a – point ii
Article 84 – paragraph 1 – point a – point ii
(ii) the amount of consolidated Common Equity Tier 1 capital that relates to that subsidiary that is required on a consolidated basis to meet the sum of the requirement laid down in Article 92(1), point (a), the requirements referred to in Articles 458 and 459, the specific own funds requirements referred to in Article 104 of Directive 2013/36/EU and the combined buffer requirement defined in Article 128, point (6), of that Directive; and the Common Equity Tier 1 capital of the subsidiary required at local level to avoid restrictions on dividend payments; in case of third countries it shall be measured based on local own funds requirements;
Amendment 548 #
Proposal for a regulation
Article 1 – paragraph 1 – point 20
Article 1 – paragraph 1 – point 20
Regulation (EU) No 575/2013
Article 85 – paragraph 1 – point a – introductory part
Article 85 – paragraph 1 – point a – introductory part
(a) the Tier 1 capital of the subsidiary minus the lower of the following:
Amendment 556 #
Proposal for a regulation
Article 1 – paragraph 1 – point 20
Article 1 – paragraph 1 – point 20
Regulation (EU) No 575/2013
Article 85 – paragraph 1 – point a – point i
Article 85 – paragraph 1 – point a – point i
Amendment 574 #
Proposal for a regulation
Article 1 – paragraph 1 – point 20
Article 1 – paragraph 1 – point 20
Regulation (EU) No 575/2013
Article 85 – paragraph 1 – point a – point ii
Article 85 – paragraph 1 – point a – point ii
(ii) the amount of consolidated Tier 1 capital that relates to the subsidiary that is required on a consolidated basis to meet the sum of the requirement laid down in Article 92(1), point (b), the requirements referred to in Articles 458 and 459, the specific own funds requirements referred to in Article 104 of Directive 2013/36/EU and the combined buffer requirement defined in Article 128, point (6), of that Directive; and the Common Equity Tier 1 capital of the subsidiary required at local level to avoid restrictions on dividend payments; in case of third countries it shall be measured based on local own funds requirements;
Amendment 585 #
Proposal for a regulation
Article 1 – paragraph 1 – point 20 b (new)
Article 1 – paragraph 1 – point 20 b (new)
Regulation (EU) No 575/2013
Article 87 – paragraph 1 – point a
Article 87 – paragraph 1 – point a
(20 b) in Article 87(1), point (a) is replaced by the following: " (a) the own funds of the subsidiary minus the lower of the following: (i) the amount of own funds that relates tof the subsidiary that is required to meet the following: —on a consolidated basis to meet the sum of the requirement laid down in point (c) of Article 92(1) of this Regulation, the requirements referred to in Articles 458 and 459 of this Regulation, the specific own funds requirements referred to in Article 104 of Directive 2013/36/EU, the combined buffer requirement defined in point (6) of Article 128 of that Directive, and any additional local supervisory regulations in third countries, — where the subsidiary is an investment firm, the sum of the requirement laid down in Article 11 of Regulation (EU) 2019/2033, the specific own funds requirements referred to in point (a) of Article 39(2) of Directive (EU) 2019/2034, and any additional local supervisory regulations in third countries; (ii) the amount of own funds that relates to the subsidiary that is required on a consolidated basis to meet the sum of the requirement laid down in point (c) of Article 92(1) of this Regulation, the requirements referred to in Articles 458 and 459 of this Regulation, the specific own funds requirements referred to in Article 104 of Directive 2013/36/EU, the combined buffer requirement defined in point (6) of Article 128 of that Directive, and any additional local supervisory own funds requirement in third countries; (https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:02013R0575- 2013/36/EU, the requirements referred to in Article 500 and any additional local supervisory own funds requirement in third countries and the Common Equity Tier 1 capital of the subsidiary required at local level to avoid restrictions on dividend payments; in case of third countries this is to be be measured based on local own funds requirements; " Or. en 20220410&qid=1657181919837&from=EN)
Amendment 599 #
Proposal for a regulation
Article 1 – paragraph 1 – point 23 – point a
Article 1 – paragraph 1 – point 23 – point a
Regulation (EU) No 575/2013
Article 92 – paragraph 3 – point a – subparagraph 5a (new)
Article 92 – paragraph 3 – point a – subparagraph 5a (new)
By way of derogation from the first subparagraph, institutions which deduct an IRB shortfall amount from their Common Equity Tier 1 in accordance with Article 36 (1), point (d) shall apply the following formula: TREA= max {U-TREA; (x*S-TREA)– (SF*12,5)} where SF = the absolutevalue of the IRB shortfall deducted in accordance with Article 36(1), point (d)
Amendment 648 #
Proposal for a regulation
Article 1 – paragraph 1 – point 30 – point a
Article 1 – paragraph 1 – point 30 – point a
Regulation (EU) No 575/2013
Article 106 – paragraph 3
Article 106 – paragraph 3
(a) in paragraph 3, the last subparagraph is replaced by the following: Both an internal hedge recognised in accordance with the first subparagraph and the credit derivative entered into with the third party shall be included in3.Where an institution hedges a non- trading book credit risk exposure or counterparty risk exposure using a credit derivative booked in its trading book, that credit derivative position shall be recognised as an internal hedge of the non-trading book tocredit risk exposure or counterparty risk exposure for the purpose of calculateing the own frisk-weighted exposure amoundts requirements for market risk. To calculate the own funds requirements for market risk usferred to in point (a) of Article 92(3) where the institution enters into another credit derivative transaction with an eligible third party protection provider that meets the requirements for unfunded credit protection ing the approach set out in Article 325(1), point (b), both positions shall be assignnon-trading book and fully offsets the long market credit risk position of the internal hedge. Both an internal hedge recognised in accordance with the first subparagraph and the credit derivative entered into the same trading desk established in accordance to Article 104b(1) that manages similar riskswith the third party shall be included in the trading book for the purpose of calculating the own funds requirements for market risk such that credit risk over hedges and other market risks are capitalised.
Amendment 649 #
Proposal for a regulation
Article 1 – paragraph 1 – point 30 – point b
Article 1 – paragraph 1 – point 30 – point b
Regulation (EU) No 575/2013
Article 106 – paragraph 4
Article 106 – paragraph 4
(b) in paragraph 4, the last subparagraph is replaced by the following: 4.Where an institution hedges a non- trading book equity risk exposure using an equity derivative booked in its trading book, that equity derivative position shall be recognised as an internal hedge of the non-trading book equity risk exposure for the purpose of calculating the risk- weighted exposure amounts referred to in point (a) of Article 92(3) where the institution enters into another equity derivative transaction with an eligible third party protection provider that meets the requirements for unfunded credit protection in the non- trading book and fully offsets the long market equity risk position of the internal hedge. Both an internal hedge recognised in accordance with the first subparagraph and the equity derivative entered into with the eligible third party protection provider shall be included in the trading book for the purposes of calculating the own funds requirements for market risk. For the purposes of calculating the own funds requirements for market risks using the approach set out in Article 325(1), point (b) both positions shall be assigned to the same trading desk established in accordance to Article 104b(1) that manages similar risks such that equity risk over hedges and other market risks are capitalised.
Amendment 650 #
Proposal for a regulation
Article 1 – paragraph 1 – point 30 – point d
Article 1 – paragraph 1 – point 30 – point d
Regulation (EU) No 575/2013
Article 106 – paragraph 5a
Article 106 – paragraph 5a
Amendment 651 #
Proposal for a regulation
Article 1 – paragraph 1 – point 30 – point d
Article 1 – paragraph 1 – point 30 – point d
Regulation (EU) No 575/2013
Article 106 – paragraph 5b – point a
Article 106 – paragraph 5b – point a
(a) that trading desk may include other interest rate risk positions entered into with third parties or with other trading desks of the institution, as long as those positions meet the requirements for inclusion in the trading book referred to in Article 104 and those other trading desks perfectfully offset the market risk of those other interest rate risk positions by entering into opposite interest rate risk positions with third parties;
Amendment 652 #
Proposal for a regulation
Article 1 – paragraph 1 – point 30 – point e
Article 1 – paragraph 1 – point 30 – point e
Regulation (EU) No 575/2013
Article 106 – paragraph 7 – point b
Article 106 – paragraph 7 – point b
(b) where the derivative position is subject to any of the requirements set out in Article 325c(2), points (b) or (c), or in Article 325e(1), point (c), the institution perfectly offsets the market risk of that derivative position by entering into opposite positions with third parties;
Amendment 667 #
Proposal for a regulation
Article 1 – paragraph 1 – point 34
Article 1 – paragraph 1 – point 34
Regulation (EU) No 575/2013
Article 111 – paragraph 4
Article 111 – paragraph 4
Amendment 693 #
Proposal for a regulation
Article 1 – paragraph 1 – point 40 – point b a (new)
Article 1 – paragraph 1 – point 40 – point b a (new)
(b a) the following paragraph is added: 2a. By way of derogation from paragraph 2, exposures under the standardised approach due to not-real estate leases granted by an institution to corporate borrowers against the payment of periodic contractual payments shall be assigned a risk weight of 70%, provided that all the following conditions are met: a) the lessor performs a complete credit risk assessment process comprising lessees, subject of leases and their relative suppliers; b) the lessor retains the legal ownership of the leased asset throughout the life of the contract; c) the lessor has the right to carry out on- site inspections/access; d) the leased assets are instrumental to the exercise of the borrower’s economic activities.
Amendment 711 #
Proposal for a regulation
Article 1 – paragraph 1 – point 41
Article 1 – paragraph 1 – point 41
Regulation (EU) No 575/2013
Article 122a – paragraph 3 – point b
Article 122a – paragraph 3 – point b
(b) where the purpose of a specialised lending exposure is to provide for short- term financing of reserves, inventories or receivables of exchange-liquidly traded commodities, including crude oil, metals, or cropsoft commodities, and the income to be generated by those reserves, inventories or receivables is to be the proceeds from the sale of the commodity (‘commodities finance exposures’), institutions shall apply a risk weight of 100 %;
Amendment 721 #
Proposal for a regulation
Article 1 – paragraph 1 – point 41
Article 1 – paragraph 1 – point 41
(i) 1310 % where the project to which the exposure is related is in the pre- operational phase;
Amendment 726 #
Proposal for a regulation
Article 1 – paragraph 1 – point 41
Article 1 – paragraph 1 – point 41
— the obligor has sufficient reserve funds fully funded in cash, or other financial arrangements, with highly rated guarantorsguarantors with an ECAI rating with a credit quality step of at least 3, or, if not externally rated, are assigned with a rating equivalent to a step 3 or higher with the bank validated internal rating model to cover the contingency funding and working capital requirements over the lifetime of the project being financed;
Amendment 735 #
Proposal for a regulation
Article 1 – paragraph 1 – point 41
Article 1 – paragraph 1 – point 41
— where the revenues of the obligor are not funded by payments from a large number of users, the source of repayment of the obligation depends on one main counterparty and that main counterparty is one of the following:
Amendment 740 #
Proposal for a regulation
Article 1 – paragraph 1 – point 41
Article 1 – paragraph 1 – point 41
— a public sector entity, provided that that entity is assigned a risk weight of 20 % or below in accordance with Article 116, or is assigned an ECAI rating with a credit quality step of at least 3, or, if not externally rated, are assigned with a rating equivalent to a step 3 or higher with the bank validated internal rating model;
Amendment 744 #
Proposal for a regulation
Article 1 – paragraph 1 – point 41
Article 1 – paragraph 1 – point 41
— a corporate entity which has been assigned an ECAI rating with a credit quality step of at least 3. , or, if not externally rated, are assigned with a rating equivalent to a step 3 or higher with the bank validated internal rating model.
Amendment 746 #
Proposal for a regulation
Article 1 – paragraph 1 – point 41
Article 1 – paragraph 1 – point 41
- an entity that is replaceable without a significant change in the level and timing of revenues.
Amendment 754 #
Proposal for a regulation
Article 1 – paragraph 1 – point 41
Article 1 – paragraph 1 – point 41
— equity is pledged or assigned to the lending institution such that they are able to take control of the obligor entity upon default;
Amendment 780 #
Proposal for a regulation
Article 1 – paragraph 1 – point 42
Article 1 – paragraph 1 – point 42
4 a. By way of derogation from paragraph 3, exposures under the standardised approach due to not-real estate leases granted by an institution to retail borrowers against the payment of periodic contractual payments shall be assigned a risk weight of 55%,provided that all the following conditions are met: a) the lessor performs a complete credit risk assessment process comprising lessees, subject of leases and their relative suppliers; b) the lessor retains the legal ownership of the leased asset throughout the life of the contract; c) the lessor has the right to carry out on- site inspections/access; d) the leased assets are instrumental to the exercise of the borrower’s economic activities.
Amendment 791 #
Proposal for a regulation
Article 1 – paragraph 1 – point 44
Article 1 – paragraph 1 – point 44
Regulation (EU) No 575/2013
Article 124 – paragraph 2 – point a – point i
Article 124 – paragraph 2 – point a – point i
(i) the immovable property securing the exposure is the obligor’s primary residenceexposure is to an individual and secured by a residential property, either where the immovable property as a whole constitutes a single housing unit or where the immovable property securing the exposure is a housing unit that is a separated part within an immovable property;
Amendment 799 #
Proposal for a regulation
Article 1 – paragraph 1 – point 44
Article 1 – paragraph 1 – point 44
Regulation (EU) No 575/2013
Article 124 – paragraph 2 – point c – point ii a (new)
Article 124 – paragraph 2 – point c – point ii a (new)
(ii a) exposures related to property leasing transactions concerning offices or other commercial premises under which the institution is the lessor and the lessee has an option to purchase shall be assigned a risk weight of 50% provided that the exposure of the institution is fully and completely secured by its ownership of the property and the commercial immovable property is instrumental to the lessee’s economic activities.
Amendment 825 #
Proposal for a regulation
Article 1 – paragraph 1 – point 47
Article 1 – paragraph 1 – point 47
Regulation (EU) No 575/2013
Article 126a – paragraph 2 – introductory part
Article 126a – paragraph 2 – introductory part
2. ADC exposures to residential or commercial property, however, may be risk weighted at 100 %, provided that, where applicable, the institution applies sound origination and monitoring standards which meet the requirements of Articles 74 and 79 of Directive 2013/36/EU and where at least one of the following conditions is met:
Amendment 851 #
Proposal for a regulation
Article 1 – paragraph 1 – point 51 a (new)
Article 1 – paragraph 1 – point 51 a (new)
(51 a) in Article 132(2), subparagraph 2 is replaced by the following: Subject to Article 132b(2), institutions that do not apply the look-through approach or the mandate-based approach shall assign a risk weight of 1 250 % (‘fall-back approach’) to their exposures in the form of units or shares in a CIU. As an alternative to applying a 1 250 % risk weight, institutions may deduct those amounts from Common Equity Tier 1 items in accordance with point (k) of Article 36(1). Or. en(https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02013R0575- 20220410&qid=1657192873239)
Amendment 857 #
Proposal for a regulation
Article 1 – paragraph 1 – point 52
Article 1 – paragraph 1 – point 52
Regulation (EU) No 575/2013
Article 133 – paragraph 1– point c – point iv – introductory part
Article 133 – paragraph 1– point c – point iv – introductory part
(iv) the holder of the instrument has exercised the option to require that the obligation be settled in equity shares, unless one of the following conditions is met:
Amendment 858 #
Proposal for a regulation
Article 1 – paragraph 1 – point 52
Article 1 – paragraph 1 – point 52
Regulation (EU) No 575/2013
Article 133 – paragraph 3 and 3 a (new)
Article 133 – paragraph 3 and 3 a (new)
3. Equity exposures, other than those referred to in paragraph 3a and 4 to 7, shall be assigned a risk weight of 250 %, unless those exposures are required to be deducted or risk-weighted in accordance with Part Two. 3a. Exposures to equity listed on regulated markets shall be assigned a risk weight of 100%. Private equity exposures in sufficiently diversified portfolios shall be assigned a risk weight of 190 % unless those exposures are required tobe deducted.
Amendment 869 #
Proposal for a regulation
Article 1 – paragraph 1 – point 52
Article 1 – paragraph 1 – point 52
Regulation (EU) No 575/2013
Article 133 – paragraph 6
Article 133 – paragraph 6
6. Equity exposures to central banks shall be assigned a risk weight of 100 %.
Amendment 881 #
Proposal for a regulation
Article 1 – paragraph 1 – point 53 – point b a (new)
Article 1 – paragraph 1 – point 53 – point b a (new)
8a. Securities financing transactions exposures risk weights shall be capped at 50 % and 20% where the exposures residual maturities are respectively one year or less and 3 months or less.
Amendment 921 #
Proposal for a regulation
Article 1 – paragraph 1 – point 66 – point c a (new)
Article 1 – paragraph 1 – point 66 – point c a (new)
Regulation (EU) No 575/2013
Article 153 – paragraph 5 – table 1
Article 153 – paragraph 5 – table 1
Amendment 943 #
Proposal for a regulation
Article 1 – paragraph 1 – point 75 – point c – point ii – indent -1 (new)
Article 1 – paragraph 1 – point 75 – point c – point ii – indent -1 (new)
Regulation (EU) No 575/201
Article 162 – paragraph 3 – subparagraph 2 – introductory part
Article 162 – paragraph 3 – subparagraph 2 – introductory part
In addition, for qualifying short-term exposures which are not part of the institution's ongoing financing of the obligor, M shall be at least one-day. This applies to IRB-Advanced and to IRB- Foundation methods. Qualifying short term exposures shall include the following:
Amendment 958 #
Proposal for a regulation
Article 1 – paragraph 1 – point 89 – point c a (new)
Article 1 – paragraph 1 – point 89 – point c a (new)
(c a) the following paragraph is inserted: 6a. EBA shall develop draft regulatory technical standards to specify the definition of diminished financial obligation in case of distressed restructuring for the purposes of paragraph 3(d). EBA shall submit those draft regulatory technical standards to the Commission by 31 December 2023. Power is delegated to the Commission to adopt the regulatory technical standards referred to in the first subparagraph in accordance with Articles 10 to 14 of Regulation (EU) No1093/2010.
Amendment 987 #
Proposal for a regulation
Article 1 – paragraph 1 – point 98 a (new)
Article 1 – paragraph 1 – point 98 a (new)
Regulation (EU) No 575/2013
Article 197 – paragraph 6 – subparagraph 1
Article 197 – paragraph 6 – subparagraph 1
(98 a) in Article197(6), subparagraph 1 is replaced by the following: "For the purposes of paragraph 5, where a CIU (‘the original CIU’) or any of its underlying CIUs are not limited to investing in instruments that are eligible under paragraphs 1 and 4, institutions: -where the institutions can apply the look- through method, they may use units or shares in that CIU as collateral up to the amount equal to the value of the underlying instruments, calculated following the existing provisions of the relevant European and national regulations, that are eligible for recognition under paragraphs 1 and 4; -where institutions can apply the mandate- based approach, they may use units or shares in that CIU as collateral to an amount equal to the value of the eligible assets held by that CIU under the assumption that that CIU or any of its underlying CIUs have invested in non- eligible assets to the maximum extent allowed under their respective mandates. (https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:02013R0575-" Or. en 20220410&qid=1657192873239&from=EN)
Amendment 990 #
Proposal for a regulation
Article 1 – paragraph 1 – point 98 a (new)
Article 1 – paragraph 1 – point 98 a (new)
Regulation (EU) No 575/2013
Article 197a (new)
Article 197a (new)
(98 a) the following article is inserted : Article 197a Additional eligibility for collateral under the Standardised Approach 1. Competent authorities shall permit an institution to use, as other eligible collateral, physical collateral where conditions specified in Article 199(6) and Article 210 are met. Institutions shall document the fulfilment of those conditions. 2. Unless otherwise decided by the competent authorities regarding specific risk weights based on the product category, to exposures fully secured by a physical collateral, which met the conditions set in paragraph 1, shall be assigned a risk weight of 60%.
Amendment 992 #
Proposal for a regulation
Article 1 – paragraph 1 – point 98 b (new)
Article 1 – paragraph 1 – point 98 b (new)
Regulation (EU) No 575/2013
Article 198
Article 198
(98 b) Article 198 is replaced by the following : "Article 198 Additional eligibility of collateral under the Financial Collateral Comprehensive Method 1. In addition to the collateral established in Article 197, where an institution uses the Financial Collateral Comprehensive Method set out in Article 223, that institution may use the following items as eligible collateral: (a) equities or convertible bonds not included in a main index but traded on a recognised exchange; (b) units or shares in CIUs where both the following conditions are met: (i) the units or shares have a daily public price quote; (ii) the CIU is limited to investing in instruments that are eligible for recognition under Article 197(1) and (4) and the items mentioned in point (a) of this subparagraph. In the case a CIU invests in units or shares of another CIU, conditions (a) and (b) of this paragraph equally apply to any such underlying CIU. The use by a CIU of derivative instruments to hedge permitted investments shall not prevent units or shares in that undertaking from being eligible as collateral. 2. Where the CIU or any underlying CIU are not limited to investing in instruments that are eligible for recognition under Article 197(1) and (4) and the items mentioned in point (a) of paragraph 1 of this Article, institutions: -where institutions can apply the look- through method, they may use units or shares in that CIU as collateral up to the amount equal to the value of the underlying instruments, calculated following the existing provisions of the relevant European and national regulations, that are eligible for recognition under paragraphs 1 and 4 and the items mentioned in point (a) of paragraph 1 of this Article; -where institutions can apply the mandate- based approach, they may use units or shares in that CIU as collateral to an amount equal to the value of the eligible assets held by that CIU under the assumption that that CIU or any of its underlying CIUs have invested in non- eligible assets to the maximum extent allowed under their respective mandates. Where non-eligible assets can have a negative value due to liabilities or contingent liabilities resulting from ownership, institutions shall do both of the following: (a) calculate the total value of the non- eligible assets; (b) where the amount obtained under point (a) is negative, subtract the absolute value of that amount from the total value of the eligible assets. (https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX:02013R0575-" Or. en 20220410&from=EN)
Amendment 997 #
Proposal for a regulation
Article 1 – paragraph 1 – point 99 – point -a (new)
Article 1 – paragraph 1 – point 99 – point -a (new)
(-a) in paragraph 1, the introductory part is replaced by: In addition to the collateral referred to in Articles 197 and 198, institutions that calculate risk-weighted exposure amounts all approaches and methods and expected loss amounts under the IRB Approach may also use the following forms of collateral:
Amendment 1017 #
Proposal for a regulation
Article 1 – paragraph 1 – point 103 a (new)
Article 1 – paragraph 1 – point 103 a (new)
Regulation (EU) No 575/201
Article 210 – introductory part
Article 210 – introductory part
(103 a)in Article 210, the introductory part is replaced by the following: Physical collateral other than immovable property collateral shall qualify as eligible collateral under the IRB Approachall approaches and methods where all the following conditions are met:
Amendment 1020 #
Proposal for a regulation
Article 1 – paragraph 1 – point 104 b (new)
Article 1 – paragraph 1 – point 104 b (new)
Regulation (EU) No 575/2013
Article 212 – paragraph 2 – point g
Article 212 – paragraph 2 – point g
(g) the surrender value is declared by the company providing the life insurance and is non-reducib104 b)in Article 212(2), point (g) is replaced by the following: (g) the current surrender value is declared by the company providing the life insurance. Where the surrender value is reducible, it has to be revaluated during the exposure life cycle;
Amendment 1029 #
Proposal for a regulation
Article 1 – paragraph 1 – point 118 – point b
Article 1 – paragraph 1 – point 118 – point b
Regulation (EU) No 575/201
Article 229 – paragraph 1 – point b – point ii
Article 229 – paragraph 1 – point b – point ii
(ii) the value is adjusted to take into account the potential for the current market price to be significantly above the value that would be sustainable over the life of the loanmarket value or mortgage lending value to be significantly above the current market price;
Amendment 1031 #
Proposal for a regulation
Article 1 – paragraph 1 – point 121 a (new)
Article 1 – paragraph 1 – point 121 a (new)
Regulation (EU) No 575/201
Article 232 – paragraph 2
Article 232 – paragraph 2
(121 a) in Article 232, paragraph 2 is replaced by the following: 2. Where the conditions set out in Article 212(2) are met, institutions shall subject the “portion of the exposure collateralised by the current surrender value of life insurance policies pledged to the lending institution” to the following treatment: (a) where the exposure is subject to the Standardised Approach, it shall be risk- weighted by using the risk weights specified in paragraph 3; (b) where the exposure is subject to the IRB Approach but not subject to the institution's own estimates of LGD, it shall be assigned an LGD of 40 %. The “portion of the exposure collateralized by the life insurance policies pledged to the lending institution”, where the surrender value (SV) is reducible, has to be calculated by the following formula: SV = SV · (1 - HC) where: HC = volatility adjustment. Where institutions are aware of the underlying exposures of the life insurance policy and the underlying exposures satisfy the eligibility criteria set out in Article 197 and 198, they should calculate Hc as the weighted average of each underlying exposure Hc according to Art. 224, paragraph 1 Tables 1 to 3. Underlying exposures in the form of CIUs should be themselves subject to the look- through approach up the maximum extent. For the purposes of calculating weighted average Hc, underlying exposures not satisfying eligibility criteria set out in Article 197 and 198and underlying exposures in the for of CIUs for which the look-through approach up to the maximum extent is not available should be considered as having Hc equal to 1. In the event of a currency mismatch, institutions shall reduce the current surrender value in accordance with Article 233(3), the value of the credit protection being the current surrender value of the life insurance policy.
Amendment 1049 #
Proposal for a regulation
Article 1 – paragraph 1 – point 131
Article 1 – paragraph 1 – point 131
Regulation (EU) No 575/2013
Article 314 – paragraph 3 – subparagraph 6 a (new)
Article 314 – paragraph 3 – subparagraph 6 a (new)
For Institutions having a service component SC weight greater than 50% of the overall business indicator, the service component shall be calculated in accordance to the following formula: SC = min (SC0 , 50% BI) + max (0,[SC0- 50%BI]) * SCCF where: SCCF: service component calibration factor proposed at 50%. SC0=max (OI , OE) + max (FI , FE)
Amendment 1098 #
Proposal for a regulation
Article 1 – paragraph 1 – point 136 – point a
Article 1 – paragraph 1 – point 136 – point a
Regulation (EU) No 575/2013
Article 325j – paragraph 1 – point b – point i
Article 325j – paragraph 1 – point b – point i
(i) it shall calculate the own funds requirement for market risk of the CIU by considering the position in the CIU as a single equity position allocated to the bucket ’Other sector‘12 or 13, as appropriate, in Article 325ap(1), Table 8;
Amendment 1101 #
Proposal for a regulation
Article 1 – paragraph 1 – point 136 – point a
Article 1 – paragraph 1 – point 136 – point a
Regulation (EU) No 575/2013
Article 325j – paragraph 1 – subparagraph 2
Article 325j – paragraph 1 – subparagraph 2
For the purposes of the calculation referred to in point (i), the institution shall consider the position in the CIU as a single unrated equity position allocated to the bucket “Unrated” in Article 325y(1), Table 2apply a 5% default risk weight.
Amendment 1112 #
Proposal for a regulation
Article 1 – paragraph 1 – point 141 a (new)
Article 1 – paragraph 1 – point 141 a (new)
Regulation (EU) No 575/2013
Article 325y – paragraph 6 a (new)
Article 325y – paragraph 6 a (new)
6a. Long and short positions in institution’s own debt should be excluded from the calculation of own funds requirements for default risk.
Amendment 1114 #
Proposal for a regulation
Article 1 – paragraph 1 – point 149 a (new)
Article 1 – paragraph 1 – point 149 a (new)
Regulation (EU) No 575/2013
Article 325at – paragraph 2 – subparagraph 3
Article 325at – paragraph 2 – subparagraph 3
(149 a)in Article 325at(2), subparagraph 3 is replaced by the following: ρkl(tenor) shall be equal to 1 where the two vertices of the sensitivities k and l are identical, otherwise it shall be equal to 99 %.9% for bucket 3a and 99 % for all other buckets; and
Amendment 1115 #
Proposal for a regulation
Article 1 – paragraph 1 – point 150 – point b a (new)
Article 1 – paragraph 1 – point 150 – point b a (new)
Regulation (EU) No 575/2013
Article 325ax – paragraph 6
Article 325ax – paragraph 6
(b a) paragraph 6 is replaced by the following: "6. For general interest rate, credit spread and commodity curvature risk factors, the curvature risk weight shall be the parallel shift of all the vertices for each curve on the basis of the highest prescribed delta risk weight referred to in Subsection 1 for the relevant risk class. (https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX:02013R0575-bucket. " Or. en 20220410&from=EN)
Amendment 1118 #
Proposal for a regulation
Article 1 – paragraph 1 – point 156 – point a
Article 1 – paragraph 1 – point 156 – point a
Regulation (EU) No 575/2013
Article 325bg – paragraph 2
Article 325bg – paragraph 2
Amendment 1122 #
Proposal for a regulation
Article 1 – paragraph 1 – point 158 a (new)
Article 1 – paragraph 1 – point 158 a (new)
Regulation (EU) No 575/2013
Article 325bl – paragraph 1 – subparagraph 1 a (new)
Article 325bl – paragraph 1 – subparagraph 1 a (new)
(158 a)in Article 325bl(1), the following subparagraph is added: Long and short positions in institution’s own debt should be excluded from the calculation of own funds requirements for default risk.
Amendment 1123 #
Proposal for a regulation
Article 1 – paragraph 1 – point 159 – point a – point -i (new)
Article 1 – paragraph 1 – point 159 – point a – point -i (new)
Regulation (EU) No 575/2013
Article 325bp – paragraph 5 – point a
Article 325bp – paragraph 5 – point a
(-i) point (a) is replaced by the following: (a) the default probabilities shall be floored at 0,03 %; for exposures other than those that would receive a 0 % risk-weight under the Standardised Approach for credit risk in accordance with Chapter 2 of Title II;
Amendment 1131 #
Proposal for a regulation
Article 1 – paragraph 1 – point 166 – point b – introductory part
Article 1 – paragraph 1 – point 166 – point b – introductory part
(b) the following paragraphs 4a and 4b areis inserted:
Amendment 1136 #
Proposal for a regulation
Article 1 – paragraph 1 – point 166 – point b
Article 1 – paragraph 1 – point 166 – point b
Regulation (EU) No 575/2013
Article 382 – paragraph 4b
Article 382 – paragraph 4b
Amendment 1139 #
Proposal for a regulation
Article 1 – paragraph 1 – point 169
Article 1 – paragraph 1 – point 169
Regulation (EU) No 575/2013
Article 383d – paragraph 2
Article 383d – paragraph 2
2. The foreign exchange vega risk factors to be applied by institutions to instruments in the CVA portfolio sensitive to foreign exchange volatility shall be the implied volatilities of all foreign exchange rates between the currency pairs referred to in paragraph 1. There shall be one bucket for all currencies and maturities, containing all foreign exchange vega risk factors and. There shall be one bucket for all currency pairs, containing a single net sensitivity.
Amendment 1234 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 3 – subparagraph 1
Article 465 – paragraph 3 – subparagraph 1
3. By way of derogation from Article 92(5)(a), point (i), parent institutions, parent financial holding companies or parent mixed financial holding companies, stand-alone institutions in the EU or stand- alone subsidiary institutions in Member States may, until 31 December2032, assign a risk weight of 65 % to exposures to corporates for which no credit assessment by a nominated ECAI is available provided that that entity estimates the PD of those exposures, calculated in accordance with Part Three, Title II, Chapter 3, is no higher than 0,5 %.
Amendment 1247 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 3 – subparagraph 2
Article 465 – paragraph 3 – subparagraph 2
Amendment 1255 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 3 – subparagraph 3
Article 465 – paragraph 3 – subparagraph 3
Amendment 1276 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 4 – subparagraph 1
Article 465 – paragraph 4 – subparagraph 1
4. By way of derogation from Article 92(5)(a), point (iv), parent institutions, parent financial holding companies or parent mixed financial holding companies, subsidiary institutions, stand-alone institutions in the EU or stand- alone subsidiary institutions in Member States shall, until 31 December 2029, replace alpha by 1 in the calculation of the exposure value for the contracts listed in Annex II in accordance with the approaches set out in Part Three, Title II, Chapter 6, Sections 3 and 4, where the same exposure values are calculated in accordance with the approach set out in Part Three, Title II, Chapter 3, Section 6 for the purposes of the total un-floored risk exposure amount.
Amendment 1280 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 4 – subparagraph 2
Article 465 – paragraph 4 – subparagraph 2
Amendment 1293 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subparagraph 1 – introductory part
Article 465 – paragraph 5 – subparagraph 1 – introductory part
5. By way of derogation from Article 92(5)(a), point (i), Member States may, allow pParent institutions, parent financial holding companies or parent mixed financial holding companies, subsidiary institutions, stand-alone institutions in the EU or stand-alone subsidiary institutions in Member States are allowed to assign the following risk weights provided that all the conditions in the second subparagraph are met.:
Amendment 1303 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subparagraph 1 – point a
Article 465 – paragraph 5 – subparagraph 1 – point a
(a) until 31 December 2032, a risk weight of 10 % to the part of the exposures secured by mortgages on residential property up to 55 % of the property value remaining after any senior or pari passu ranking liens not held by the institution have been deducted,
Amendment 1313 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subparagraph 1 – point b
Article 465 – paragraph 5 – subparagraph 1 – point b
(b) until 31 December 2029, a risk weight of 45% to any remaining part of the exposures secured by mortgages on residential property up to 80 % of the property value remaining after any senior or pari passu ranking liens not held by the institution have been deducted, provided that the adjustment to own funds requirements for credit risk referred to in Article 501 is not applied.
Amendment 1322 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subparagraph 2 – point a
Article 465 – paragraph 5 – subparagraph 2 – point a
(a) the qualifying exposures are located in thea Member State that has exercised the discretion;
Amendment 1340 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subpraragraph 3 – introductory part
Article 465 – paragraph 5 – subpraragraph 3 – introductory part
Where the discretion referred to in the first subparagraph has been exercised and all the associated conditions in the second subparagraph are met, institutions may assign the following risk weights to the remaining part of the exposures referred to in the second subparagraph, point (b), until 31 December 2032:
Amendment 1356 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subpraragraph 3 – point c
Article 465 – paragraph 5 – subpraragraph 3 – point c
(c) 67,5 % during the period from 1 January 2032 to 31 Decemberfrom 1 January 2032.
Amendment 1362 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subparagraph 4
Article 465 – paragraph 5 – subparagraph 4
Amendment 1370 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subparagraph 5
Article 465 – paragraph 5 – subparagraph 5
Amendment 1379 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subparagraph 6
Article 465 – paragraph 5 – subparagraph 6
Amendment 1444 #
Proposal for a regulation
Article 1 – paragraph 1 – point 199
Article 1 – paragraph 1 – point 199
Regulation (EU) No 575/2013
Article 495d – paragraph 1 – subparagraph 1 a (new)
Article 495d – paragraph 1 – subparagraph 1 a (new)
This also applies to all the items listed in bucket 5 of Annex I
Amendment 1464 #
Proposal for a regulation
Article 1 – paragraph 1 – point 199 a (new)
Article 1 – paragraph 1 – point 199 a (new)
Regulation (EU) No 575/2013
Article 500 – paragraph 1 – subparagraph 1 – point (b)
Article 500 – paragraph 1 – subparagraph 1 – point (b)
( 199a) in Article 500(1), point (b) is replaced by the following: (b) the dates of the disposals of defaulted exposures are after 23 November 2016 but not later than 28 June31 December 20224; ( https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02013R0575-20220410Or. en
Amendment 1492 #
Proposal for a regulation
Article 1 – paragraph 1 – point 201 a (new)
Article 1 – paragraph 1 – point 201 a (new)
Regulation (EU) No 575/2013
Article 501a a (new)
Article 501a a (new)
Amendment 1493 #
Proposal for a regulation
Article 1 – paragraph 1 – point 201 b (new)
Article 1 – paragraph 1 – point 201 b (new)
Regulation (EU) No 575/2013
Article 501 a b (new)
Article 501 a b (new)
(201 b)the following article is inserted: "Article 501 ab Sustainability Adjustment Factor for other suitable economic activities 1. For exposure fully or partially related to economic activities as defined by point 2 and different from those in article 501xX, the pro-quota capital requirements for credit risk shall be multiplied by a Sustainability Adjustment Factor (SAF) of 0,85 unless the capital requirements for credit risk are calculated by the bank under a validated IRB/IRBA that integrates the sustainability risk factors envisaged in the Taxonomy Regulation(Regulation (EU) 2020/852). 2. For the purpose of this Article, SAF suitable economic activities are defined as economic activities that fulfil all the following criteria: (a) they are included in the existing and future Delegated Regulations based on the Taxonomy Regulation (Regulation (EU) 2020/852); (b) they are compliant with Article 3 of that Regulation(Criteria for environmentally sustainable economic activities); (c) they belong to those economic activities for which EBA, in collaboration with JRC, has assessed a materially reduced prospective credit risk by virtue of their environmental sustainability. 3. If for the exposures referred to in paragraph 1, other supporting factors are envisaged in this Regulation, the SAF shall be added to those additional supporting factors prior to the calculation of the capital requirements for credit risk. 4. EBA has the mandate to assess a first set of SAF suitable economic activities by December 2023 and a second one by December 2026. 5. Institutions shall report to competent authorities every 12 months on the total amount of SAF suitable exposures and the related total capital requirements for credit risk. 6. The Commission shall by xxxxxx and by yyyyyyy report on the impact of the SAF for exposures to the eligible economic activities defined in this article and, if it is justified from a prudential perspective, if it should be kept at the level in point 1 or should be increased and shall submit that report to the European Parliament and to the Council together with a legislative proposal, if appropriate.
Amendment 1521 #
Proposal for a regulation
Article 1 – paragraph 1 – point 205
Article 1 – paragraph 1 – point 205
Regulation (EU) No 575/2013
Article 519d – paragraph 1 – introductory part
Article 519d – paragraph 1 – introductory part
Amendment 1537 #
Proposal for a regulation
Article 1 – paragraph 1 – point 205
Article 1 – paragraph 1 – point 205
Regulation (EU) No 575/2013
Article 519d – subparagraph 2 a (new
Article 519d – subparagraph 2 a (new
In case admissible insurance contracts should be identified by EBA, with standardized wording pre-cleared by EBA by means of an ad hoc RTS (Regulatory Technical Standard), institutions can apply the following. NET BIC = BIC × (1−insurance benefit) where: insurance benefit = min (20%, ∑𝛿 i ) and for each i policy 𝛿 i=[(𝐻i∙𝐿i)/BIC] × 𝑓(𝐷i) * Wi - the policy limit (“L”); - the policy deductible (“D”); - an adjustment depending on the chosen deductible (“𝑓(𝐷)”),ensuring the benefit decreases as the deductible increases; - a standard haircut (“H”), to be determined by the competent Supervisor depending on the probability of each Insurer’s default or potential delay in payments; - the policy percentage coverage(“W”) related to the extent of the coverage, excluding overlapping with other policies.
Amendment 1548 #
Proposal for a regulation
Annex – table – column 2 – row 8
Annex – table – column 2 – row 8
Regulation (EU) No 575/201
Annex I
Annex I
• Performance bonds, bid bonds, • Performance bonds, bid bonds, warranties warranties and standby letters of credit not related to trade finance; related to particular transactions and similar transaction-related contingent items;
Amendment 1558 #
Proposal for a regulation
Annex – table– column 2 – row 13 a (new)
Annex – table– column 2 – row 13 a (new)
Performance bonds, bid bonds and warranties related to trade finance, and standby letters of credit related to particular transactions and similar transaction-related contingent items;