The rule in plain words
Off balance sheet items cannot be more than exposure after CRM substitution effects pre conversion factors.
How the Line4 Check report words itShowHide
Word for word as the report shows it when the rule fails.
Of which: off balance sheet items <= Exposure after CRM substitution effects pre conversion factors
What to do if your filing fails it
- 01Open the template below and find the cells the rule reads.
- 02Compare the values in your file. If the first is bigger than it may be, one of them is wrong: check both before you change either.
- 03EBA allows a small rounding difference, worked out from the decimals each value is reported with.
- 04It runs only when your filing indicators mark C 08.02 as reported.
- 05This is a warning. It does not stop the filing on its own, but your authority may ask you to explain it.
The cells it reads
Columns
- 0090Exposure after CRM substitution effects pre conversion factors
- 0100Of which: off balance sheet items
A worked example
The first of its checks, with simple numbers.
Exposure after CRM substitution effects pre conversion factors must then be at least 1,200.
A file that reports 1,200 passes. One that reports 1,100 fails, by 100.
The numbers are illustrative, reported to the unit, so the rounding tolerance does not change the result.
Show the rule as writtenShowHide
EBA's formula. Cells are written as {template, row, column, sheet}.
{C_08.02,,c0100,} <= {C_08.02,,c0090,}Other rules on C 08.02
- Large financial sector entities and unregulated financial entities cannot be more than original exposure conversion factors (v0342_m)Warning
- Exposure value arising from counterparty credit risk cannot be more than exposure value (v0344_m)Warning
- Large financial sector entities and unregulated financial entities cannot be more than exposure value (v0345_m)Warning
- Large financial sector entities and unregulated financial entities cannot be more than risk weighted exposure amount after supporting factor (v0346_m)Warning
- Exposure after CRM substitution effects pre conversion factors must equal the sum of its three parts (v0347_m)Warning
- Risk weighted exposure amount after supporting factor must equal the sum of its three parts (v0348_m)Warning
- Total outflows must equal the sum of its three parts (v1665_m)Warning
- The absolute value of guarantees plus the absolute value of credit derivatives cannot be more than original exposure conversion factors (v4771_m)Warning
Every COREP own funds rule, by template
Checks like this one, run at the point of submission, are the first step to real-time supervision.