The rule in plain words
AUM formally delegated to another entity cannot be more than AUM - discretionary portfolio management.
EBA checks it for three columns: month t, month t-1 and month t-2. That makes three checks. A failure names the one that failed.
How the Line4 Check report words itShowHide
The first of its checks, word for word as the report shows it when it fails. The others read the same, with their own column, row or sheet.
Month t: Of which: AUM formally delegated to another entity <= Of which: AUM - Discretionary portfolio management
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 I 06.01 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
Assets under management - AUM additional detail (I 06.01)
Rows
- 0020Of which: AUM - Discretionary portfolio management
- 0030Of which: AUM formally delegated to another entity
Columns
- 0010Month t
- 0020Month t-1
- 0030Month t-2
A worked example
The first of its checks, with simple numbers.
AUM - discretionary portfolio management 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, as written out for the first of its checks. Cells are written as {template, row, column, sheet}.
{I_06.01,r0030,c0010,} <= {I_06.01,r0020,c0010,}The next two:
{I_06.01,r0030,c0020,} <= {I_06.01,r0020,c0020,}{I_06.01,r0030,c0030,} <= {I_06.01,r0020,c0030,}Checks like this one, run at the point of submission, are the first step to real-time supervision.