What changed, Commission Delegated Regulation (EU) No 241/2014 of 7 January 2014 supplementing Regulation (EU) No 575/2013

+ ## CHAPTER I / **GENERAL**
− ### art_1
+ ### Article 1 — Subject matter
− Article 1
+ (a) the meaning of ‘foreseeable’ when determining whether foreseeable charges or dividends have been deducted from own funds according to Article 26(4) of Regulation (EU) No 575/2013;
− | (a) | the meaning of ‘foreseeable’ when determining whether foreseeable charges or dividends have been deducted from own funds according to Article 26(4) of Regulation (EU) No 575/2013; |
− | --- | --- |
+ (b) conditions according to which competent authorities may determine that a type of undertaking recognised under applicable national law qualifies as a mutual, cooperative society, savings institution or similar institution, according to Article 27(2) of Regulation (EU) No 575/2013;
− | (b) | conditions according to which competent authorities may determine that a type of undertaking recognised under applicable national law qualifies as a mutual, cooperative society, savings institution or similar institution, according to Article 27(2) of Regulation (EU) No 575/2013; |
− | --- | --- |
+ (c) the applicable forms and nature of indirect funding of capital instruments, according to Article 28(5) of Regulation (EU) No 575/2013;
− | (c) | the applicable forms and nature of indirect funding of capital instruments, according to Article 28(5) of Regulation (EU) No 575/2013; |
− | --- | --- |
+ (d) the nature of limitations on redemption necessary where the refusal by the institution of the redemption of own funds instruments is prohibited under applicable national law, according to Article 29(6) of Regulation (EU) No 575/2013;
− | (d) | the nature of limitations on redemption necessary where the refusal by the institution of the redemption of own funds instruments is prohibited under applicable national law, according to Article 29(6) of Regulation (EU) No 575/2013; |
− | --- | --- |
+ (e) the further specification of the concept of gain on sale according to Article 32(2) of Regulation (EU) No 575/2013;
− | (e) | the further specification of the concept of gain on sale according to Article 32(2) of Regulation (EU) No 575/2013; |
− | --- | --- |
+ (f) the application of the deductions from Common Equity Tier 1 items and other deductions for Common Equity Tier 1, Additional Tier 1 and Tier 2 items according to Article 36(2) of Regulation (EU) No 575/2013;
− | (f) | the application of the deductions from Common Equity Tier 1 items and other deductions for Common Equity Tier 1, Additional Tier 1 and Tier 2 items according to Article 36(2) of Regulation (EU) No 575/2013; |
− | --- | --- |
+ (g) the criteria according to which competent authorities shall permit institutions to reduce the amount of assets in the defined benefit pension fund, according to Article 41(2) of Regulation (EU) No 575/2013;
− | (g) | the criteria according to which competent authorities shall permit institutions to reduce the amount of assets in the defined benefit pension fund, according to Article 41(2) of Regulation (EU) No 575/2013; |
− | --- | --- |
+ (h) the form and nature of incentives to redeem, the nature of a write-up of an Additional Tier 1 instrument following a write-down of the principal amount on a temporary basis and the procedures and timing surrounding trigger events, features of instruments that could hinder recapitalisation and us…
− | (h) | the form and nature of incentives to redeem, the nature of a write-up of an Additional Tier 1 instrument following a write-down of the principal amount on a temporary basis and the procedures and timing surrounding trigger events, features of instruments that could hinder recapitalisation an…
− | --- | --- |
+ (i) the extent of conservatism required in estimates used as an alternative to the calculation of underlying exposures for indirect holdings arising from index holdings, according to Article 76(4) of Regulation (EU) No 575/2013;
− | (i) | the extent of conservatism required in estimates used as an alternative to the calculation of underlying exposures for indirect holdings arising from index holdings, according to Article 76(4) of Regulation (EU) No 575/2013; |
− | --- | --- |
+ (j) certain detailed conditions that need to be met before a supervisory permission for reducing own funds can be given, and the relevant process, according to Article 78(5) of Regulation (EU) No 575/2013;
− | (j) | certain detailed conditions that need to be met before a supervisory permission for reducing own funds can be given, and the relevant process, according to Article 78(5) of Regulation (EU) No 575/2013; |
− | --- | --- |
+ (k) the conditions for a temporary waiver for deduction from own funds to be provided, according to Article 79(2) of Regulation (EU) No 575/2013;
− | (k) | the conditions for a temporary waiver for deduction from own funds to be provided, according to Article 79(2) of Regulation (EU) No 575/2013; |
− | --- | --- |
+ (l) the types of assets that can relate to the operations of a special purpose entity and the concepts of minimal and insignificant for the purposes of determining Qualifying Additional Tier 1 and Tier 2 capital issued by a special purpose entity according to Article 83(2) of Regulation (EU) No 575/…
− | (l) | the types of assets that can relate to the operations of a special purpose entity and the concepts of minimal and insignificant for the purposes of determining Qualifying Additional Tier 1 and Tier 2 capital issued by a special purpose entity according to Article 83(2) of Regulation (EU) No …
− | --- | --- |
+ (m) the detailed conditions for adjustments to own funds under the transitional provisions, according to Article 481(6) of Regulation (EU) No 575/2013;
− | (m) | the detailed conditions for adjustments to own funds under the transitional provisions, according to Article 481(6) of Regulation (EU) No 575/2013; |
− | --- | --- |
+ (n) the conditions for items excluded from grandfathering in Common Equity Tier 1 or Additional Tier 1 items in other elements of own funds, according to Article 487(3) of Regulation (EU) No 575/2013.
− | (n) | the conditions for items excluded from grandfathering in Common Equity Tier 1 or Additional Tier 1 items in other elements of own funds, according to Article 487(3) of Regulation (EU) No 575/2013. |
− | --- | --- |
+ ## Subsection 1 / **Foreseeable dividends and charges**
− ### art_2
+ ### Article 2 — Meaning of ‘foreseeable’ in foreseeable dividend for the purposes of Article 26(2)(b) of Regulation (EU) No 575/2013
− Article 2
+ (a) the average dividend pay-out ratio over the three years prior to the year under consideration;
− | (a) | the average dividend pay-out ratio over the three years prior to the year under consideration; |
− | --- | --- |
+ (b) the dividend pay-out ratio of the year preceding the year under consideration.
− | (b) | the dividend pay-out ratio of the year preceding the year under consideration. |
− | --- | --- |
+ ### Article 3 — Meaning of ‘foreseeable’ in foreseeable charge for the purposes of Article 26(2)(b) of Regulation (EU) No 575/2013
− ### art_3
− 
− Article 3
+ (a) the amount of taxes;
− | (a) | the amount of taxes; |
− | --- | --- |
+ (b) the amount of any obligations or circumstances arising during the related reporting period which are likely to reduce the profits of the institution and for which the competent authority is not satisfied that all necessary value adjustments, such as additional value adjustments according to Arti…
− | (b) | the amount of any obligations or circumstances arising during the related reporting period which are likely to reduce the profits of the institution and for which the competent authority is not satisfied that all necessary value adjustments, such as additional value adjustments according to …
− | --- | --- |
+ ## Subsection 2 / **Cooperative societies, savings institutions, mutuals and similar institutions**
− ### art_4
+ ### Article 4 — Type of undertaking recognised under applicable national law as a cooperative society for the purposes of Article 27(1)(a)(ii) of Regulation (EU) No 575/2013
− Article 4
+ 
+ (a) in Austria: institutions registered as ‘eingetragene Genossenschaft (e.Gen.)’ or ‘registrierte Genossenschaft’ under the ‘Gesetz über Erwerbs- und Wirtschaftsgenossenschaften (GenG)’;
+ 
+ (b) in Belgium: institutions registered as ‘société coopérative/coöperatieve vennootschap’ and approved in application of the Royal Decree of 8 January 1962 fixing the conditions of approval of the national groupings of cooperative societies and cooperative societies;
+ 
+ (c) in Cyprus: institutions registered as ‘Συνεργατικό Πιστωτικό Ίδρυμα ή ΣΠΙ’ established by virtue of the Cooperative Societies Laws of 1985;
+ (d) in the Czech Republic: institutions authorised as ‘spořitelní a úvěrní družstvo’ under ‘zákon upravující činnost spořitelních a úvěrních družstev’;
+ 
+ (e) in Denmark: institutions registered as ‘andelskasser’or ‘sammenslutninger af andelskasser’ under the Danish Financial Business Act;
+ 
+ (f) in Finland: institutions registered as one of the following:
− | (a) | in Austria: institutions registered as ‘eingetragene Genossenschaft (e.Gen.)’ or ‘registrierte Genossenschaft’ under the ‘Gesetz über Erwerbs- und Wirtschaftsgenossenschaften (GenG)’; |
− | --- | --- |
+ (1) ‘Osuuspankki’ or ‘andelsbank’ under ‘laki osuuspankeista ja muista osuuskuntamuotoisista luottolaitoksista’ or ‘lag om andelsbanker och andra kreditinstitut i andelslagsform’;
− | (b) | in Belgium: institutions registered as ‘société coopérative/coöperatieve vennootschap’ and approved in application of the Royal Decree of 8 January 1962 fixing the conditions of approval of the national groupings of cooperative societies and cooperative societies; |
− | --- | --- |
+ (2) ‘Muu osuuskuntamuotoinen luottolaitos’ or ‘annat kreditinstitut i andelslagsform’ under ‘laki osuuspankeista ja muista osuuskuntamuotoisista luottolaitoksista’ or ‘lag om andelsbanker och andra kreditinstitut i andelslagsform’;
+ 
+ (3) ‘Keskusyhteisö’ or ‘centralinstitutet’ under ‘laki talletuspankkien yhteenliittymästä’ or ‘lag om en sammanslutning av inlåningsbanker’;
− | (c) | in Cyprus: institutions registered as ‘Συνεργατικό Πιστωτικό Ίδρυμα ή ΣΠΙ’ established by virtue of the Cooperative Societies Laws of 1985; |
− | --- | --- |
+ (g) in France: institutions registered as ‘sociétés coopératives’ under the ‘Loi no47-1775 du 10 septembre 1947 portant statut de la coopération’ and authorised as ‘banques mutualistes ou coopératives’ under the ‘Code monétaire et financier, partie législative, Livre V, titre Ier, chapitre II’;
− | (d) | in the Czech Republic: institutions authorised as ‘spořitelní a úvěrní družstvo’ under ‘zákon upravující činnost spořitelních a úvěrních družstev’; |
− | --- | --- |
+ (h) in Germany: institutions registered as ‘eingetragene Genossenschaft (eG)’ under the ‘Gesetz betreffend die Erwerbs- und Wirtschaftsgenossenschaften (Genossenschaftsgesetz –GenG)’;
− | (e) | in Denmark: institutions registered as ‘andelskasser’or ‘sammenslutninger af andelskasser’ under the Danish Financial Business Act; |
− | --- | --- |
+ (i) in Greece: institutions registered as ‘Πιστωτικοί Συνεταιρισμοί’ under the Cooperative Law 1667/1986 that operate as credit institutions and may be labeled as ‘Συνεταιριστική Τράπεζα’ according to the Banking Law 3601/2007;
− | (f) | in Finland: institutions registered as one of the following:(1)‘Osuuspankki’ or ‘andelsbank’ under ‘laki osuuspankeista ja muista osuuskuntamuotoisista luottolaitoksista’ or ‘lag om andelsbanker och andra kreditinstitut i andelslagsform’;(2)‘Muu osuuskuntamuotoinen luottolaitos’ or ‘annat kr…
− | --- | --- |
− | (1) | ‘Osuuspankki’ or ‘andelsbank’ under ‘laki osuuspankeista ja muista osuuskuntamuotoisista luottolaitoksista’ or ‘lag om andelsbanker och andra kreditinstitut i andelslagsform’; |
− | (2) | ‘Muu osuuskuntamuotoinen luottolaitos’ or ‘annat kreditinstitut i andelslagsform’ under ‘laki osuuspankeista ja muista osuuskuntamuotoisista luottolaitoksista’ or ‘lag om andelsbanker och andra kreditinstitut i andelslagsform’; |
− | (3) | ‘Keskusyhteisö’ or ‘centralinstitutet’ under ‘laki talletuspankkien yhteenliittymästä’ or ‘lag om en sammanslutning av inlåningsbanker’; |
+ (j) in Hungary: institutions registered as ‘Szövetkezeti hitelintézet’ under Act CXII of 1996 on Credit Institutions and Financial Enterprises;
− | (g) | in France: institutions registered as ‘sociétés coopératives’ under the ‘Loi no47-1775 du 10 septembre 1947 portant statut de la coopération’ and authorised as ‘banques mutualistes ou coopératives’ under the ‘Code monétaire et financier, partie législative, Livre V, titre Ier, chapitre II’; …
− | --- | --- |
+ (k) in Italy: institutions registered as on of the following:
− | (h) | in Germany: institutions registered as ‘eingetragene Genossenschaft (eG)’ under the ‘Gesetz betreffend die Erwerbs- und Wirtschaftsgenossenschaften (Genossenschaftsgesetz –GenG)’; |
− | --- | --- |
+ (1) ‘Banche popolari’ referred to in Legislative Decree 1 September 1993, no. 385;
− | (i) | in Greece: institutions registered as ‘Πιστωτικοί Συνεταιρισμοί’ under the Cooperative Law 1667/1986 that operate as credit institutions and may be labeled as ‘Συνεταιριστική Τράπεζα’ according to the Banking Law 3601/2007; |
− | --- | --- |
+ (2) ‘Banche di credito cooperativo’ referred to in Legislative Decree 1 September 1993, no. 385;
− | (j) | in Hungary: institutions registered as ‘Szövetkezeti hitelintézet’ under Act CXII of 1996 on Credit Institutions and Financial Enterprises; |
− | --- | --- |
+ (3) ‘Banche di garanzia collettiva dei fidi’ referred to in art. 13 of Decree Law 30 September 2003, no. 269, converted into Law 24 November 2003, no. 326;
− | (k) | in Italy: institutions registered as on of the following:(1)‘Banche popolari’ referred to in Legislative Decree 1 September 1993, no. 385;(2)‘Banche di credito cooperativo’ referred to in Legislative Decree 1 September 1993, no. 385;(3)‘Banche di garanzia collettiva dei fidi’ referred to in …
− | --- | --- |
− | (1) | ‘Banche popolari’ referred to in Legislative Decree 1 September 1993, no. 385; |
− | (2) | ‘Banche di credito cooperativo’ referred to in Legislative Decree 1 September 1993, no. 385; |
− | (3) | ‘Banche di garanzia collettiva dei fidi’ referred to in art. 13 of Decree Law 30 September 2003, no. 269, converted into Law 24 November 2003, no. 326; |
+ (l) in Luxembourg: institutions registered as ‘sociétés coopératives’ as defined in Section VI of the law of 10 August 1915 on commercial companies;
− | (l) | in Luxembourg: institutions registered as ‘sociétés coopératives’ as defined in Section VI of the law of 10 August 1915 on commercial companies; |
− | --- | --- |
+ (m) in the Netherlands: institutions registered as ‘coöperaties’ or ‘onderlinge waarborgmaatschappijen’ under ‘Title 3 of Book 2 Rechtspersonen of the Burgerlijk wetboek’;
− | (m) | in the Netherlands: institutions registered as ‘coöperaties’ or ‘onderlinge waarborgmaatschappijen’ under ‘Title 3 of Book 2 Rechtspersonen of the Burgerlijk wetboek’; |
− | --- | --- |
+ (n) in Poland: institutions registered as ‘bank spółdzielczy’ under the provisions of ‘Prawo bankowe’;
− | (n) | in Poland: institutions registered as ‘bank spółdzielczy’ under the provisions of ‘Prawo bankowe’; |
− | --- | --- |
+ (o) in Portugal: institutions registered as ‘Caixa de Crédito Agrícola Mútuo’ or as ‘Caixa Central de Crédito Agrícola Mútuo’ under the ‘Regime Jurídico do Crédito Agrícola Mútuo e das Cooperativas de Crédito Agrícola’ approved by Decreto-Lei n.o 24/91, de 11 de Janeiro;
− | (o) | in Portugal: institutions registered as ‘Caixa de Crédito Agrícola Mútuo’ or as ‘Caixa Central de Crédito Agrícola Mútuo‘ under the ‘Regime Jurídico do Crédito Agrícola Mútuo e das Cooperativas de Crédito Agrícola’ approved by Decreto-Lei n.o 24/91, de 11 de Janeiro; |
− | --- | --- |
+ (p) in Romania: institutions registered as ‘Organizații cooperatiste de credit’ under the provisions of Government Emergency Ordinance no. 99/2006 on credit institutions and capital adequacy, approved with amendments and supplements by Law no. 227/2007;
− | (p) | in Romania: institutions registered as ‘Organizații cooperatiste de credit’ under the provisions of Government Emergency Ordinance no. 99/2006 on credit institutions and capital adequacy, approved with amendments and supplements by Law no. 227/2007; |
− | --- | --- |
+ (q) in Spain: Institutions registered as ‘Cooperativas de Crédito’ under the ‘Ley 13/1989, de 26 de mayo, de Cooperativas de Crédito’;
− | (q) | in Spain: Institutions registered as ‘Cooperativas de Crédito’ under the ‘Ley 13/1989, de 26 de mayo, de Cooperativas de Crédito’; |
− | --- | --- |
+ (r) in Sweden: institutions registered as ‘Medlemsbank’ under ‘Lag (1995:1570) om medlemsbanker‘ or as ‘Kreditmarknadsförening’ under Lag (2004:297) om bank- och finansieringsrörelse;
− | (r) | in Sweden: institutions registered as ‘Medlemsbank’ under ‘Lag (1995:1570) om medlemsbanker‘ or as ‘Kreditmarknadsförening’ under Lag (2004:297) om bank- och finansieringsrörelse; |
− | --- | --- |
+ (s) in the United Kingdom: institutions registered as ‘cooperative societies’ under the Industrial and Provident Societies Act 1965 and under the Industrial and Provident Societies Act (Northern Ireland) 1969.
− | (s) | in the United Kingdom: institutions registered as ‘cooperative societies’ under the Industrial and Provident Societies Act 1965 and under the Industrial and Provident Societies Act (Northern Ireland) 1969. |
− | --- | --- |
+ ### Article 5 — Type of undertaking recognised under applicable national law as a savings institution for the purposes of Article 27(1)(a)(iii) of Regulation (EU) No 575/2013
− ### art_5
− 
− Article 5
+ 
+ (a) in Austria: institutions registered as ‘Sparkasse’ under para. 1 (1) of the ‘Bundesgesetz über die Ordnung des Sparkassenwesens (Sparkassengesetz – SpG)’;
+ 
+ (b) in Denmark: institutions registered as ‘Sparekasser’ under the Danish Financial Business Act;
+ 
+ (c) in Finland: institutions registered as ‘Säästöpankki’ or ‘Sparbank’ under ‘Säästöpankkilaki ‘ or ‘Sparbankslag’;
+ 
+ (d) in Germany: institutions registered as ‘Sparkasse’ as follows:
+ 
+ (1) Sparkassengesetz für Baden-Württemberg (SpG)’;
+ 
+ (2) ‘Gesetz über die öffentlichen Sparkassen (Sparkassengesetz – SpkG) in Bayern‘;
+ 
+ (3) ‘Gesetz über die Berliner Sparkasse und die Umwandlung der Landesbank Berlin – Girozentrale – in eine Aktiengesellschaft (Berliner Sparkassengesetz – SpkG)’;
+ 
+ (4) ‘Brandenburgisches Sparkassengesetz (BbgSpkG)’;
+ 
+ (5) ‘Sparkassengesetz für öffentlich-rechtliche Sparkassen im Lande Bremen (Bremisches Sparkassengesetz)’;
+ 
+ (6) ‘Hessisches Sparkassengesetz’;
+ 
+ (7) ‘Sparkassengesetz des Landes Mecklenburg-Vorpommern (SpkG)’;
+ 
+ (8) ‘Niedersächsisches Sparkassengesetz (NSpG)’;
+ 
+ (9) ‘Sparkassengesetz Nordrhein-Westfalen (Sparkassengesetz – SpkG) ’;
+ 
+ (10) Sparkassengesetz (SpkG) für Rheinland-Pfalz’;
+ (11) ‘Saarländisches Sparkassengesetz (SSpG)’;
+ 
+ (12) ‘Gesetz über die öffentlich-rechtlichen Kreditinstitute im Freistaat Sachsen und die Sachsen-Finanzgruppe’;
− | (a) | in Austria: institutions registered as ‘Sparkasse’ under para. 1 (1) of the ‘Bundesgesetz über die Ordnung des Sparkassenwesens (Sparkassengesetz – SpG)’; |
− | --- | --- |
+ (13) ‘Sparkassengesetz des Landes Sachsen-Anhalt (SpkG-LSA)’;
− | (b) | in Denmark: institutions registered as ‘Sparekasser’ under the Danish Financial Business Act; |
− | --- | --- |
+ (14) ‘Sparkassengesetz für das Land Schleswig-Holstein (Sparkassengesetz – SpkG)’;
− | (c) | in Finland: institutions registered as ‘Säästöpankki’ or ‘Sparbank’ under ‘Säästöpankkilaki ‘ or ‘Sparbankslag’; |
− | --- | --- |
+ (15) ‘Thüringer Sparkassengesetz (ThürSpkG)’;
− | (d) | in Germany: institutions registered as ‘Sparkasse’ as follows:(1)Sparkassengesetz für Baden-Württemberg (SpG)’;(2)‘Gesetz über die öffentlichen Sparkassen (Sparkassengesetz – SpkG) in Bayern‘;(3)‘Gesetz über die Berliner Sparkasse und die Umwandlung der Landesbank Berlin – Girozentrale – in …
− | --- | --- |
− | (1) | Sparkassengesetz für Baden-Württemberg (SpG)’; |
− | (2) | ‘Gesetz über die öffentlichen Sparkassen (Sparkassengesetz – SpkG) in Bayern‘; |
− | (3) | ‘Gesetz über die Berliner Sparkasse und die Umwandlung der Landesbank Berlin – Girozentrale – in eine Aktiengesellschaft (Berliner Sparkassengesetz – SpkG)’; |
− | (4) | ‘Brandenburgisches Sparkassengesetz (BbgSpkG)’; |
− | (5) | ‘Sparkassengesetz für öffentlich-rechtliche Sparkassen im Lande Bremen (Bremisches Sparkassengesetz)’; |
− | (6) | ‘Hessisches Sparkassengesetz’; |
− | (7) | ‘Sparkassengesetz des Landes Mecklenburg-Vorpommern (SpkG)’; |
− | (8) | ‘Niedersächsisches Sparkassengesetz (NSpG)’; |
− | (9) | ‘Sparkassengesetz Nordrhein-Westfalen (Sparkassengesetz – SpkG) ’; |
− | (10) | Sparkassengesetz (SpkG) für Rheinland-Pfalz’; |
− | (11) | ‘Saarländisches Sparkassengesetz (SSpG)’; |
− | (12) | ‘Gesetz über die öffentlich-rechtlichen Kreditinstitute im Freistaat Sachsen und die Sachsen-Finanzgruppe’; |
− | (13) | ‘Sparkassengesetz des Landes Sachsen-Anhalt (SpkG-LSA)’; |
− | (14) | ‘Sparkassengesetz für das Land Schleswig-Holstein (Sparkassengesetz – SpkG)’; |
− | (15) | ‘Thüringer Sparkassengesetz (ThürSpkG)’; |
+ (e) in Spain: institutions registered as ‘Cajas de Ahorros‘ under ‘Real Decreto-Ley 2532/1929, de 21 de noviembre, sobre Régimen del Ahorro Popular’;
− | (e) | in Spain: institutions registered as ‘Cajas de Ahorros‘ under ‘Real Decreto-Ley 2532/1929, de 21 de noviembre, sobre Régimen del Ahorro Popular’; |
− | --- | --- |
+ (f) in Sweden: institutions registered as ‘Sparbank’ under ‘Sparbankslag (1987:619)’.
− | (f) | in Sweden: institutions registered as ‘Sparbank’ under ‘Sparbankslag (1987:619)’. |
− | --- | --- |
+ ### Article 6 — Type of undertaking recognised under applicable national law as a mutual for the purposes of Article 27(1)(a)(i) of Regulation (EU) No 575/2013
− ### art_6
− 
− Article 6
+ (a) in Denmark: Associations (‘Foreninger’) or funds (‘Fonde’) which originate from the conversion of insurance companies (‘Forsikringsselskaber’), mortgage credit institutions (‘Realkreditinstitutter’), savings banks (‘Sparekasser’), cooperative savings banks (‘Andelskasser’) and affiliations of co…
− | (a) | in Denmark: Associations (‘Foreninger’) or funds (‘Fonde’) which originate from the conversion of insurance companies (‘Forsikringsselskaber’), mortgage credit institutions (‘Realkreditinstitutter’), savings banks (‘Sparekasser’), cooperative savings banks (‘Andelskasser’) and affiliations o…
− | --- | --- |
+ (b) in Ireland: institutions registered as ‘building societies’ under the Building Societies Act 1989;
− | (b) | in Ireland: institutions registered as ‘building societies’ under the Building Societies Act 1989; |
− | --- | --- |
+ (c) in the United Kingdom: institutions registered as ‘building societies’ under the Building Societies Act 1986; institutions registered as a ‘savings bank’ under the Savings Bank (Scotland) Act 1819.
− | (c) | in the United Kingdom: institutions registered as ‘building societies’ under the Building Societies Act 1986; institutions registered as a ‘savings bank’ under the Savings Bank (Scotland) Act 1819. |
− | --- | --- |
− 
− ### art_7
+ ### Article 7 — Type of undertaking recognised under applicable national law as a similar institution for the purposes of Article 27(1)(a)(iv) of Regulation (EU) No 575/2013
− Article 7
+ (a) in Austria: the ‘Pfandbriefstelle der österreichischen Landes-Hypothekenbanken’ under the ‘Bundesgesetz über die Pfandbriefstelle der österreichischen Landes-Hypothekenbanken (Pfandbriefstelle-Gesetz – PfBrStG)’;
− | (a) | in Austria: the ‘Pfandbriefstelle der österreichischen Landes-Hypothekenbanken’ under the ‘Bundesgesetz über die Pfandbriefstelle der österreichischen Landes-Hypothekenbanken (Pfandbriefstelle-Gesetz – PfBrStG)’; |
− | --- | --- |
+ (b) in Finland: institutions registered as ‘Hypoteekkiyhdistys’ or ‘Hypoteksförening’ under ‘Laki hypoteekkiyhdistyksistä’ or ‘Lag om hypoteksföreningar’.
− | (b) | in Finland: institutions registered as ‘Hypoteekkiyhdistys’ or ‘Hypoteksförening’ under ‘Laki hypoteekkiyhdistyksistä’ or ‘Lag om hypoteksföreningar’. |
− | --- | --- |
+ (a) where the holders, which may be members or non-members of the institution, of the Common Equity Tier 1 instruments referred to in paragraph 3 have the ability to resign under the applicable national law, they may also have the right to put the capital instrument back to the institution, but only…
− | (a) | where the holders, which may be members or non-members of the institution, of the Common Equity Tier 1 instruments referred to in paragraph 3 have the ability to resign under the applicable national law, they may also have the right to put the capital instrument back to the institution, but …
− | --- | --- |
+ (b) the sum of capital, reserves and interim or year-end profits, is not allowed, according to national applicable law, to be distributed to holders of Common Equity Tier 1 instruments. That condition is deemed to be fulfilled even where the institution issues Common Equity Tier 1 instruments that g…
− | (b) | the sum of capital, reserves and interim or year-end profits, is not allowed, according to national applicable law, to be distributed to holders of Common Equity Tier 1 instruments. That condition is deemed to be fulfilled even where the institution issues Common Equity Tier 1 instruments th…
− | --- | --- |
+ (c) the total amount or a partial amount of the sum of capital and reserves is owned by members of the institution who do not, in the ordinary course of business, benefit from direct distribution of the reserves, in particular through the payment of dividends.
− | (c) | the total amount or a partial amount of the sum of capital and reserves is owned by members of the institution who do not, in the ordinary course of business, benefit from direct distribution of the reserves, in particular through the payment of dividends. |
− | --- | --- |
+ ## Subsection 3 / **Indirect funding**
− ### art_8
+ ### Article 8 — Indirect funding of capital instruments for the purposes of Article 28(1)(b,) Article 52(1)(c) and Article 63(c) of Regulation (EU) No 575/2013
− Article 8
+ 
+ (a) the transaction is realised at similar conditions as other transactions with third parties;
+ 
+ (b) the natural or legal person or the related party does not have to rely on the distributions or on the sale of the capital instruments held to support the payment of interest and the repayment of the funding.
+ ### Article 9 — Applicable forms and nature of indirect funding of capital instruments for the purposes of Article 28(1)(b) and 52(1)(c) and 63(c) of Regulation (EU) No 575/2013
+ 
+ 1. The applicable forms and nature of indirect funding of the purchase of an institution’s capital instruments shall include the following:
+ 
+ (a) funding of an investor’s purchase, at issuance or thereafter, of an institution’s capital instruments by any entities on which the institution has a direct or indirect control or by entities included in any of the following:
+ 
+ (1) the scope of accounting or prudential consolidation of the institution;
− | (a) | the transaction is realised at similar conditions as other transactions with third parties; |
− | --- | --- |
+ (2) the scope of the consolidated balance sheet or extended aggregated calculation, where equivalent to consolidated accounts as referred to in Article 49(3)(a)(iv) of Regulation (EU) No 575/2013, that is drawn up by the institutional protection scheme or the network of institutions affiliated to a …
− | (b) | the natural or legal person or the related party does not have to rely on the distributions or on the sale of the capital instruments held to support the payment of interest and the repayment of the funding. |
− | --- | --- |
+ (3) the scope of supplementary supervision of the institution in accordance with Directive 2002/87/EC of the European Parliament and of the Council (8) on the supplementary supervision of credit institutions, insurance undertakings and investment firms in a financial conglomerate;
− ### art_9
+ (b) funding of an investor’s purchase, at issuance or thereafter, of an institution’s capital instruments by external entities that are protected by a guarantee or by the use of a credit derivative or are secured in some other way so that the credit risk is transferred to the institution or to any e…
− Article 9
+ (1) the scope of accounting or prudential consolidation of the institution;
− 1. The applicable forms and nature of indirect funding of the purchase of an institution’s capital instruments shall include the following:
+ (2) the scope of the consolidated balance sheet or extended aggregated calculation, where equivalent to consolidated accounts as referred to in Article 49(3)(a)(iv) of Regulation (EU) No 575/2013, that is drawn up by the institutional protection scheme or the network of institutions affiliated to a …
− | (a) | funding of an investor’s purchase, at issuance or thereafter, of an institution’s capital instruments by any entities on which the institution has a direct or indirect control or by entities included in any of the following:(1)the scope of accounting or prudential consolidation of the instit…
− | --- | --- |
− | (1) | the scope of accounting or prudential consolidation of the institution; |
− | (2) | the scope of the consolidated balance sheet or extended aggregated calculation, where equivalent to consolidated accounts as referred to in Article 49(3)(a)(iv) of Regulation (EU) No 575/2013, that is drawn up by the institutional protection scheme or the network of institutions affiliated t…
− | (3) | the scope of supplementary supervision of the institution in accordance with Directive 2002/87/EC of the European Parliament and of the Council (8) on the supplementary supervision of credit institutions, insurance undertakings and investment firms in a financial conglomerate; |
+ (3) the scope of supplementary supervision of the institution in accordance with Directive 2002/87/EC.
− | (b) | funding of an investor’s purchase, at issuance or thereafter, of an institution’s capital instruments by external entities that are protected by a guarantee or by the use of a credit derivative or are secured in some other way so that the credit risk is transferred to the institution or to a…
− | --- | --- |
− | (1) | the scope of accounting or prudential consolidation of the institution; |
− | (2) | the scope of the consolidated balance sheet or extended aggregated calculation, where equivalent to consolidated accounts as referred to in Article 49(3)(a)(iv) of Regulation (EU) No 575/2013, that is drawn up by the institutional protection scheme or the network of institutions affiliated t…
− | (3) | the scope of supplementary supervision of the institution in accordance with Directive 2002/87/EC. |
+ (c) funding of a borrower that passes the funding on to the ultimate investor for the purchase, at issuance or thereafter, of an institution’s capital instruments.
− | (c) | funding of a borrower that passes the funding on to the ultimate investor for the purchase, at issuance or thereafter, of an institution’s capital instruments. |
− | --- | --- |
+ (a) the investor is not included in any of the following:
+ 
+ (1) the scope of accounting or prudential consolidation of the institution;
+ 
+ (2) the scope of the consolidated balance sheet or extended aggregated calculation, where equivalent to consolidated accounts as referred to in Article 49(3)(a)(iv) of Regulation (EU) No 575/2013, that is drawn up by the institutional protection scheme or the network of institutions affiliated to a …
+ 
+ (3) the scope of the supplementary supervision of the institution in accordance with Directive 2002/87/EC;
+ 
+ (b) the external entity is not included in any of the following:
+ 
+ (1) the scope of accounting or prudential consolidation of the institution;
+ 
+ (2) the scope of the consolidated balance sheet or extended aggregated calculation, where equivalent to consolidated accounts as referred to in Article 49(3)(a)(iv) of Regulation (EU) No 575/2013, that is drawn up by the institutional protection scheme or the network of institutions affiliated to a …
− | (a) | the investor is not included in any of the following:(1)the scope of accounting or prudential consolidation of the institution;(2)the scope of the consolidated balance sheet or extended aggregated calculation, where equivalent to consolidated accounts as referred to in Article 49(3)(a)(iv) o…
− | --- | --- |
− | (1) | the scope of accounting or prudential consolidation of the institution; |
− | (2) | the scope of the consolidated balance sheet or extended aggregated calculation, where equivalent to consolidated accounts as referred to in Article 49(3)(a)(iv) of Regulation (EU) No 575/2013, that is drawn up by the institutional protection scheme or the network of institutions affiliated t…
− | (3) | the scope of the supplementary supervision of the institution in accordance with Directive 2002/87/EC; |
+ (3) the scope of the supplementary supervision of the institution in accordance with Directive 2002/87/EC.
− | (b) | the external entity is not included in any of the following:(1)the scope of accounting or prudential consolidation of the institution;(2)the scope of the consolidated balance sheet or extended aggregated calculation, where equivalent to consolidated accounts as referred to in Article 49(3)(a…
− | --- | --- |
− | (1) | the scope of accounting or prudential consolidation of the institution; |
− | (2) | the scope of the consolidated balance sheet or extended aggregated calculation, where equivalent to consolidated accounts as referred to in Article 49(3)(a)(iv) of Regulation (EU) No 575/2013, that is drawn up by the institutional protection scheme or the network of institutions affiliated t…
− | (3) | the scope of the supplementary supervision of the institution in accordance with Directive 2002/87/EC. |
+ (a) the amount of the subscription is considered immaterial by the competent authority;
− | (a) | the amount of the subscription is considered immaterial by the competent authority; |
− | --- | --- |
+ (b) the purpose of the loan is not the purchase of capital instruments of the institution providing the loan;
− | (b) | the purpose of the loan is not the purchase of capital instruments of the institution providing the loan; |
− | --- | --- |
+ (c) the subscription of one or more capital instruments of the institution is necessary in order for the beneficiary of the loan to become a member of the mutual, cooperative society or similar institution.
− | (c) | the subscription of one or more capital instruments of the institution is necessary in order for the beneficiary of the loan to become a member of the mutual, cooperative society or similar institution. |
− | --- | --- |
+ ## Subsection 4 / **Limitations on redemption of capital instruments**
− ### art_10
+ ### Article 10 — Limitations on redemption of capital instruments issued by mutuals, savings institutions, cooperative societies and similar institutions for the purposes of Article 29(2)(b) of Regulation (EU) No 575/2013 and Article 78(3) of Regulation (EU) No 575/2013
− Article 10
+ (a) the overall financial, liquidity and solvency situation of the institution;
− | (a) | the overall financial, liquidity and solvency situation of the institution; |
− | --- | --- |
+ (b) the amount of Common Equity Tier 1 capital, Tier 1 and total capital compared to the total risk exposure amount calculated in accordance with the requirements laid down in point (a) of Article 92(1) of Regulation (EU) No 575/2013, the specific own funds requirements referred to in Article 104(1)…
− | (b) | the amount of Common Equity Tier 1 capital, Tier 1 and total capital compared to the total risk exposure amount calculated in accordance with the requirements laid down in point (a) of Article 92(1) of Regulation (EU) No 575/2013, the specific own funds requirements referred to in Article 10…
− | --- | --- |
+ ### Article 11 — Limitations on redemption of capital instruments issued by mutuals, savings institutions, cooperative societies and similar institutions for the purposes of Article 29(2)(b) of Regulation (EU) No 575/2013 and Article 78(3) of Regulation (EU) No 575/2013
− ### art_11
− Article 11
− 
+ ## *SECTION 2* / ***Prudential Filters***
− ### art_12
+ ### Article 12 — The concept of gain on sale for the purposes of Article 32(1)(a) of Regulation (EU) No 575/2013
− Article 12
+ (a) the net value of the assets received including any new asset obtained less any other asset given or any new liability assumed;
− | (a) | the net value of the assets received including any new asset obtained less any other asset given or any new liability assumed; |
− | --- | --- |
+ (b) and the carrying amount of the securitised assets or of the part derecognised.
− | (b) | and the carrying amount of the securitised assets or of the part derecognised. |
− | --- | --- |
+ ## *SECTION 3* / ***Deductions from Common Equity Tier 1 items***
− ### art_13
+ ### Article 13 — Deduction of losses for the current financial year for the purposes of Article 36(1)(a) of Regulation (EU) No 575/2013
− Article 13
+ ### Article 14 — Deductions of deferred tax assets that rely on future profitability for the purposes of Article 36(1)(c) of Regulation (EU) No 575/2013
− ### art_14
− 
− Article 14
+ (a) the amount of deferred tax liabilities as recognised under the applicable accounting framework;
− | (a) | the amount of deferred tax liabilities as recognised under the applicable accounting framework; |
− | --- | --- |
+ (b) the amount of associated deferred tax liabilities arising from intangible assets and from defined benefit pension fund assets.
− | (b) | the amount of associated deferred tax liabilities arising from intangible assets and from defined benefit pension fund assets. |
− | --- | --- |
− 
− ### art_15
+ ### Article 15 — Deduction of defined benefit pension fund assets for the purposes of Article 36(1)(e) of Regulation (EU) No 575/2013 and Article 41(1)(b) of Regulation (EU) No 575/2013
− Article 15
+ ### Article 16 — Deductions of foreseeable tax charges for the purposes of Article 36(1)(l) and Article 56(f) of Regulation (EU) No 575/2013
− ### art_16
− Article 16
− 
+ ## *SECTION 4* / ***Other deductions for Common Equity Tier 1, additional Tier 1 and Tier 2 items***
− ### art_17
+ ### Article 17 — Other deductions for capital instruments of financial institutions for the purposes of Article 36(3) of Regulation (EU) No 575/2013
− Article 17
+ (a) all instruments qualifying as capital under the company law applicable to the financial institution that issued them and, where the financial institution is subject to solvency requirements, which are included in the highest quality Tier of regulatory own funds without any limits shall be deduct…
− | (a) | all instruments qualifying as capital under the company law applicable to the financial institution that issued them and, where the financial institution is subject to solvency requirements, which are included in the highest quality Tier of regulatory own funds without any limits shall be de…
− | --- | --- |
+ (b) all instruments which qualify as capital under the company law applicable to the issuer and, where the financial institution is not subject to solvency requirements, which are perpetual, absorb the first and proportionately greatest share of losses as they occur, rank below all other claims in t…
− | (b) | all instruments which qualify as capital under the company law applicable to the issuer and, where the financial institution is not subject to solvency requirements, which are perpetual, absorb the first and proportionately greatest share of losses as they occur, rank below all other claims …
− | --- | --- |
+ (c) any subordinated instruments absorbing losses on a going-concern basis, including the discretion to cancel coupon payments, shall be deducted from Additional Tier 1 items. Where the amount of these subordinated instruments exceeds the amount of Additional Tier 1 capital, the excess amount shall …
− | (c) | any subordinated instruments absorbing losses on a going-concern basis, including the discretion to cancel coupon payments, shall be deducted from Additional Tier 1 items. Where the amount of these subordinated instruments exceeds the amount of Additional Tier 1 capital, the excess amount sh…
− | --- | --- |
+ (d) any other subordinated instruments shall be deducted from Tier 2 items. If the amount of these subordinated instruments exceeds the amount of Tier 2 capital, the excess amount shall be deducted from Additional Tier 1 items. Where the amount of Additional Tier 1 capital is insufficient, the remai…
− | (d) | any other subordinated instruments shall be deducted from Tier 2 items. If the amount of these subordinated instruments exceeds the amount of Tier 2 capital, the excess amount shall be deducted from Additional Tier 1 items. Where the amount of Additional Tier 1 capital is insufficient, the r…
− | --- | --- |
+ (e) any other instruments included in the financial institution’s own funds pursuant to the relevant applicable prudential framework or any other instruments for which the institution is not able to demonstrate that the conditions in points (a), (b), (c) or (d) apply shall be deducted from Common Eq…
− | (e) | any other instruments included in the financial institution’s own funds pursuant to the relevant applicable prudential framework or any other instruments for which the institution is not able to demonstrate that the conditions in points (a), (b), (c) or (d) apply shall be deducted from Commo…
− | --- | --- |
+ (a) where the financial institution is authorised and supervised by a competent authority and subject to prudential requirements equivalent to those applied to institutions under Regulation (EU) No 575/2013. This approach shall be applied to third country financial institutions only where an equival…
− | (a) | where the financial institution is authorised and supervised by a competent authority and subject to prudential requirements equivalent to those applied to institutions under Regulation (EU) No 575/2013. This approach shall be applied to third country financial institutions only where an equ…
− | --- | --- |
+ (b) where the financial institution is an electronic money institution within the meaning of Article 2 of Directive 2009/110/EC of the European Parliament and of the Council (10) and does not benefit from optional exemptions as provided by Article 9 of that Directive;
− | (b) | where the financial institution is an electronic money institution within the meaning of Article 2 of Directive 2009/110/EC of the European Parliament and of the Council (10) and does not benefit from optional exemptions as provided by Article 9 of that Directive; |
− | --- | --- |
+ (c) where the financial institution is a payment institution within the meaning of Article 4 of Directive 2007/64/EC of the European Parliament and of the Council (11) and does not benefit from a waiver as provided by Article 26 of that Directive;
− | (c) | where the financial institution is a payment institution within the meaning of Article 4 of Directive 2007/64/EC of the European Parliament and of the Council (11) and does not benefit from a waiver as provided by Article 26 of that Directive; |
− | --- | --- |
+ (d) where the financial institution is an alternative investment fund manager within the meaning of Article 4 of Directive 2011/61/EU of the European Parliament and of the Council (12) or a management company within the meaning of Article 2(1) of Directive 2009/65/EC of the European Parliament and o…
− | (d) | where the financial institution is an alternative investment fund manager within the meaning of Article 4 of Directive 2011/61/EU of the European Parliament and of the Council (12) or a management company within the meaning of Article 2(1) of Directive 2009/65/EC of the European Parliament a…
− | --- | --- |
+ ### Article 18 — Capital instruments of third country insurance and reinsurance undertakings for the purposes of Article 36(3) of Regulation (EU) No 575/2013
− ### art_18
− Article 18
− 
+ (a) all instruments which qualify as capital under the company law applicable to the third country insurance and reinsurance undertakings that issued them, and which are included in the highest quality Tier of regulatory own funds without any limits under the third-country regime shall be deducted f…
− | (a) | all instruments which qualify as capital under the company law applicable to the third country insurance and reinsurance undertakings that issued them, and which are included in the highest quality Tier of regulatory own funds without any limits under the third-country regime shall be deduct…
− | --- | --- |
+ (b) any subordinated instruments absorbing losses on a going-concern basis, including the discretion to cancel coupon payments, shall be deducted from Additional Tier 1 items. Where the amount of these subordinated instruments exceeds the amount of Additional Tier 1 capital, the excess amount shall …
− | (b) | any subordinated instruments absorbing losses on a going-concern basis, including the discretion to cancel coupon payments, shall be deducted from Additional Tier 1 items. Where the amount of these subordinated instruments exceeds the amount of Additional Tier 1 capital, the excess amount sh…
− | --- | --- |
+ (c) any other subordinated instruments shall be deducted from Tier 2 items. Where the amount of these subordinated instruments exceeds the amount of Tier 2 capital, the excess amount shall be deducted from Additional Tier 1 items. Where this excess amount exceeds the amount of Additional Tier 1 capi…
− | (c) | any other subordinated instruments shall be deducted from Tier 2 items. Where the amount of these subordinated instruments exceeds the amount of Tier 2 capital, the excess amount shall be deducted from Additional Tier 1 items. Where this excess amount exceeds the amount of Additional Tier 1 …
− | --- | --- |
+ (d) for third country insurance and reinsurance undertakings that are subject to prudential solvency requirements, any other instruments included in the third country insurance and reinsurance undertakings’ own funds pursuant to the relevant applicable solvency regime or any other instruments for wh…
− | (d) | for third country insurance and reinsurance undertakings that are subject to prudential solvency requirements, any other instruments included in the third country insurance and reinsurance undertakings’ own funds pursuant to the relevant applicable solvency regime or any other instruments fo…
− | --- | --- |
− 
− ### art_19
+ ### Article 19 — Capital instruments of undertakings excluded from the scope of Directive 2009/138/EC for the purposes of Article 36(3) of Regulation (EU) No 575/2013
− Article 19
+ (a) all instruments qualifying as capital under the company law applicable to the undertaking that issued them and that are included in the highest quality Tier of regulatory own funds without any limits shall be deducted from Common Equity Tier 1 capital;
− | (a) | all instruments qualifying as capital under the company law applicable to the undertaking that issued them and that are included in the highest quality Tier of regulatory own funds without any limits shall be deducted from Common Equity Tier 1 capital; |
− | --- | --- |
+ (b) any subordinated instruments absorbing losses on a going-concern basis, including the discretion to cancel coupon payments, shall be deducted from Additional Tier 1 items. Where the amount of these subordinated instruments exceeds the amount of Additional Tier 1 capital, the excess amount shall …
− | (b) | any subordinated instruments absorbing losses on a going-concern basis, including the discretion to cancel coupon payments, shall be deducted from Additional Tier 1 items. Where the amount of these subordinated instruments exceeds the amount of Additional Tier 1 capital, the excess amount sh…
− | --- | --- |
+ (c) any other subordinated instruments shall be deducted from Tier 2 items. If the amount of these subordinated instruments exceeds the amount of Tier 2 capital, the excess amount shall be deducted from Additional Tier 1 items. Where this amount exceeds the amount of Additional Tier 1 capital, the r…
− | (c) | any other subordinated instruments shall be deducted from Tier 2 items. If the amount of these subordinated instruments exceeds the amount of Tier 2 capital, the excess amount shall be deducted from Additional Tier 1 items. Where this amount exceeds the amount of Additional Tier 1 capital, t…
− | --- | --- |
+ (d) any other instruments included in the undertaking’s own funds pursuant to the relevant applicable solvency regime or any other instruments for which the institution is not able to demonstrate that conditions (a), (b) or (c) apply shall be deducted from Common Equity Tier 1 capital.
− | (d) | any other instruments included in the undertaking’s own funds pursuant to the relevant applicable solvency regime or any other instruments for which the institution is not able to demonstrate that conditions (a), (b) or (c) apply shall be deducted from Common Equity Tier 1 capital. |
− | --- | --- |
+ ## *SECTION 1* / ***Form and nature of incentives to redeem***
− ### art_20
+ ### Article 20 — Form and nature of incentives to redeem for the purposes of Article 52(1)(g) and 63(h)of Regulation (EU) No 575/2013
− Article 20
+ (a) a call option combined with an increase in the credit spread of the instrument if the call is not exercised;
− | (a) | a call option combined with an increase in the credit spread of the instrument if the call is not exercised; |
− | --- | --- |
+ (b) a call option combined with a requirement or an investor option to convert the instrument into a Common Equity Tier 1 instrument where the call is not exercised;
− | (b) | a call option combined with a requirement or an investor option to convert the instrument into a Common Equity Tier 1 instrument where the call is not exercised; |
− | --- | --- |
+ (c) a call option combined with a change in reference rate where the credit spread over the second reference rate is greater than the initial payment rate minus the swap rate;
− | (c) | a call option combined with a change in reference rate where the credit spread over the second reference rate is greater than the initial payment rate minus the swap rate; |
− | --- | --- |
+ (d) a call option combined with an increase of the redemption amount in the future;
− | (d) | a call option combined with an increase of the redemption amount in the future; |
− | --- | --- |
+ (e) a remarketing option combined with an increase in the credit spread of the instrument or a change in reference rate where the credit spread over the second reference rate is greater than the initial payment rate minus the swap rate where the instrument is not remarketed;
− | (e) | a remarketing option combined with an increase in the credit spread of the instrument or a change in reference rate where the credit spread over the second reference rate is greater than the initial payment rate minus the swap rate where the instrument is not remarketed; |
− | --- | --- |
+ (f) a marketing of the instrument in a way which suggests to investors that the instrument will be called.
− | (f) | a marketing of the instrument in a way which suggests to investors that the instrument will be called. |
− | --- | --- |
+ ## *SECTION 2* / ***Conversion or write-down of the principal amount***
− ### art_21
+ ### Article 21 — Nature of the write-up of the principal amount following a write-down for the purposes of Article 52(1)(n) and Article 52(2)(c)(ii) of Regulation (EU) No 575/2013
− Article 21
+ 
+ (a) any distributions payable after a write-down shall be based on the reduced amount of the principal;
+ 
+ (b) write-ups shall be based on profits after the institution has taken a formal decision confirming the final profits;
+ (c) any write-up of the instrument or payment of coupons on the reduced amount of the principal shall be operated at the full discretion of the institution subject to the constraints arising from points (d) to (f) and there shall be no obligation for the institution to operate or accelerate a write-…
− | (a) | any distributions payable after a write-down shall be based on the reduced amount of the principal; |
− | --- | --- |
+ (d) a write-up shall be operated on a pro rata basis among similar Additional Tier 1 instruments that have been subject to a write-down;
− | (b) | write-ups shall be based on profits after the institution has taken a formal decision confirming the final profits; |
− | --- | --- |
+ (e) the maximum amount to be attributed to the sum of the write-up of the instrument together with the payment of coupons on the reduced amount of the principal shall be equal to the profit of the institution multiplied by the amount obtained by dividing the amount determined in point (1) by the amo…
− | (c) | any write-up of the instrument or payment of coupons on the reduced amount of the principal shall be operated at the full discretion of the institution subject to the constraints arising from points (d) to (f) and there shall be no obligation for the institution to operate or accelerate a wr…
− | --- | --- |
+ (1) the sum of the nominal amount of all Additional Tier 1 instruments of the institution before write-down that have been subject to a write-down;
− | (d) | a write-up shall be operated on a pro rata basis among similar Additional Tier 1 instruments that have been subject to a write-down; |
− | --- | --- |
+ (2) the total Tier 1 capital of the institution.
− | (e) | the maximum amount to be attributed to the sum of the write-up of the instrument together with the payment of coupons on the reduced amount of the principal shall be equal to the profit of the institution multiplied by the amount obtained by dividing the amount determined in point (1) by the…
− | --- | --- |
− | (1) | the sum of the nominal amount of all Additional Tier 1 instruments of the institution before write-down that have been subject to a write-down; |
− | (2) | the total Tier 1 capital of the institution. |
+ (f) the sum of any write-up amounts and payments of coupons on the reduced amount of the principal shall be treated as a payment that results in a reduction of Common Equity Tier 1 and shall be subject, together with other distributions on Common Equity Tier 1 instruments, to the restrictions relati…
− | (f) | the sum of any write-up amounts and payments of coupons on the reduced amount of the principal shall be treated as a payment that results in a reduction of Common Equity Tier 1 and shall be subject, together with other distributions on Common Equity Tier 1 instruments, to the restrictions re…
− | --- | --- |
− 
− ### art_22
+ ### Article 22 — Procedures and timing for determining that a trigger event has occurred for the purposes of Article 52(1)(n) of Regulation (EU) No 575/2013
− Article 22
+ ## *SECTION 3* / ***Features of instruments that could hinder recapitalisation***
− ### art_23
+ ### Article 23 — Features of instruments that could hinder recapitalisation for the purposes of Article 52(1)(o) of Regulation (EU) No 575/2013
− Article 23
+ ## *SECTION 4* / ***Use of special purposes entities for indirect issuance of own funds instruments***
− ### art_24
+ ### Article 24 — Use of special purposes entities for indirect issuance of own funds instruments for the purposes of Article 52(1)(p) and Article 63(n) of Regulation (EU) No 575/2013
− Article 24
+ ## *SECTION 1* / ***Indirect holdings arising from index holdings***
− ### art_25
+ ### Article 25 — Extent of conservatism required in estimates for calculating exposures used as an alternative to the underlying exposures for the purposes of Article 76(2) of Regulation (EU) No 575/2013
− Article 25
+ (a) where the investment mandate of the index specifies that a capital instrument of a financial sector entity which is part of the index cannot exceed a maximum percentage of the index, the institution uses that percentage as an estimate for the value of the holdings that is deducted from its Commo…
− | (a) | where the investment mandate of the index specifies that a capital instrument of a financial sector entity which is part of the index cannot exceed a maximum percentage of the index, the institution uses that percentage as an estimate for the value of the holdings that is deducted from its C…
− | --- | --- |
+ (b) where the institution is unable to determine the maximum percentage referred to in point (a) and where the index, as evidenced by its investment mandate or other relevant information, includes capital instruments of financial sector entities, the institution deducts the full amount of the index …
− | (b) | where the institution is unable to determine the maximum percentage referred to in point (a) and where the index, as evidenced by its investment mandate or other relevant information, includes capital instruments of financial sector entities, the institution deducts the full amount of the in…
− | --- | --- |
+ (a) an indirect holding arising from an index holding comprises the proportion of the index invested in the Common Equity Tier 1, Additional Tier 1 and Tier 2 instruments of financial sector entities included in the index;
… diff truncated at 500 changed lines …