The rule in plain words
Own funds must equal tier 1 capital plus tier 2 capital.
All the values are in the amount column (0010) of I 01.01.
How the Line4 Check report words itShowHide
Word for word as the report shows it when the rule fails.
Own funds = Tier 1 Capital + Tier 2 Capital
What to do if your filing fails it
- 01Open the template below and find the cells the rule reads.
- 02Add up the parts in your file and compare the result with the total.
- 03If they differ, a part is missing, a value sits in the wrong row, or the total is out of date.
- 04EBA allows a small rounding difference, worked out from the decimals each value is reported with.
- 05It runs only when your filing indicators mark I 01.01 as reported.
- 06This 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
Own funds composition (Class 3 IF) (I 01.01)
Rows
- 0010Own funds
- 0020Tier 1 Capital
- 0420Tier 2 Capital
Column
- 0010Amount
A worked example
The first of its checks, with simple numbers.
Illustrative values
Tier 1 capital1,200
Tier 2 capital800
Together2,000
What the rule then expects
Own funds must then be 2,000.
2,000Passes
2,100Fails
A file that reports 2,000 passes. One that reports 2,100 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}.
{I_01.01,r0010,c0010,} = {I_01.01,r0020,c0010,} + {I_01.01,r0420,c0010,}Other rules on I 01.01
- Own funds must equal the sum of its three parts (v23959_h)Warning
- Total deductions from Common equity Tier 1 must equal the sum of its seven parts (v11135_m)Warning
- Tier 2 capital must equal the sum of its four parts (v11131_m)Warning
- Additional Tier 1 capital must equal the sum of its four parts (v11127_m)Warning
- Surplus or Deficit of total capital must equal own funds minus total own funds requirement (v11124_m)Warning
- Surplus or Deficit of Tier 1 capital must equal tier 1 capital minus total own funds requirement times 0.75 (v11123_m)Warning
- Surplus or Deficit of CET 1 capital must equal common equity Tier 1 capital minus total own funds requirement times 0.56 (v11122_m)Warning
- Amount cannot be more than zero (v10874_s)Warning
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.