Line4

1 min readWarningEBA reporting framework 4.2Updated 10 November 2026

Fixed expenses incurred on behalf of the investment firms by third parties cannot be more than total expenses of the previous year after distribution of profits (EBA rule v11145_m)

A warning in the investment firms, class 3 return (IFR class 3), on template I 03.01, fixed overheads requirement calculation (Class 3 IF).

Check your file against this ruleWhat to do if it fails

The rule in plain words

Fixed expenses incurred on behalf of the investment firms by third parties cannot be more than total expenses of the previous year after distribution of profits.

All the values are in the amount column (0010) of I 03.01.

How the Line4 Check report words itShow

Word for word as the report shows it when the rule fails.

Of which: Fixed expenses incurred on behalf of the investment firms by third parties <= Total expenses of the previous year after distribution of profits

What to do if your filing fails it

  1. 01Open the template below and find the cells the rule reads.
  2. 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.
  3. 03EBA allows a small rounding difference, worked out from the decimals each value is reported with.
  4. 04It runs only when your filing indicators mark I 03.01 as reported.
  5. 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

Fixed overheads requirement calculation (Class 3 IF) (I 03.01)

Rows

  • 0030Total expenses of the previous year after distribution of profits
  • 0040Of which: Fixed expenses incurred on behalf of the investment firms by third parties

Column

  • 0010Amount

A worked example

The first of its checks, with simple numbers.

Illustrative values
Fixed expenses incurred on behalf of the investment firms by third parties1,200
What the rule then expects

Total expenses of the previous year after distribution of profits must then be at least 1,200.

1,200Passes
1,100Fails

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 writtenShow

EBA's formula. Cells are written as {template, row, column, sheet}.

{I_03.01,r0040,c0010,} <= {I_03.01,r0030,c0010,}

Every IFR class 3 rule, by template

Checks like this one, run at the point of submission, are the first step to real-time supervision.