The rule in plain words
Guarantees provided by the resolution entity and permitted by the resolution authority must equal permitted guarantees times total risk exposure amount.
All the values are in the internal MREL column (0010) of M 03.00.
How the Line4 Check report words itShowHide
Word for word as the report shows it when the rule fails.
Internal MREL: Guarantees provided by the resolution entity and permitted by the resolution authority = Of which permitted guarantees × Total risk exposure amount
What to do if your filing fails it
- 01Open the template below and find the cells the rule reads.
- 02Work out both sides from your file, as the rule in plain words sets out, and compare them.
- 03EBA allows a small rounding difference, worked out from the decimals each value is reported with.
- 04It runs only when your filing indicators mark M 03.00 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
Internal MREL and internal TLAC (ILAC) (M 03.00)
Rows
- 0100Total risk exposure amount
- 0270Guarantees provided by the resolution entity and permitted by the resolution authority
- 0410Of which permitted guarantees
Column
- 0010Internal MREL
Show the rule as writtenShowHide
EBA's formula. Cells are written as {template, row, column, sheet}.
{M_03.00,r0270,c0010,} = {M_03.00,r0410,c0010,} * {M_03.00,r0100,c0010,}Other rules on M 03.00
- Eligible own funds and eligible liabilities must equal own funds and eligible liabilities as a percentage of the total risk exposure amount times total risk exposure amount (v10780_m)Warning
- Eligible own funds and eligible liabilities must equal own funds and eligible liabilities as a percentage of the total exposure measure times total exposure measure (v10782_m)Warning
- A check on internal MREL and internal TLAC (ILAC) (v10779_m)Not run yet
- Guarantees provided by the resolution entity and permitted by the resolution authority must equal permitted guarantees times total exposure measure (v10783_m)Warning
- If guarantees provided by the resolution entity and permitted by the resolution authority is reported, memorandum item: collateralised part of the guarantee must be reported (v10778_m)Warning
- Combined buffer requirement must equal the sum of its four parts (v10784_m)Warning
- Other bailinable liabilities must equal the sum of its three parts (v10785_m)Warning
- Eligible liabilities and guarantees must equal the sum of its five parts (v10776_m)Warning
Every MREL and TLAC rule, by template
Checks like this one, run at the point of submission, are the first step to real-time supervision.