The rule in plain words
Trading financial assets must equal these four added up:
- Derivatives
- Debt securities
- Loans and advances
- Equity instruments
All the values are in the carrying amount column (0010) of F 04.06.
How the Line4 Check report words itShowHide
Word for word as the report shows it when the rule fails.
Trading financial assets = Derivatives + Debt securities + Loans and advances + Equity instruments
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- 03If they differ, a part is missing, a value sits in the wrong row, or the total is out of date.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 F 04.06 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
Breakdown of financial assets by instrument and by counterparty sector: trading financial assets (F 04.06)
Rows
- 0005Derivatives
- 0010Equity instruments
- 0060Debt securities
- 0120Loans and advances
- 0190Trading financial assets
Column
- 0010Carrying amount
A worked example
The first of its checks, with simple numbers.
Trading financial assets must then be 2,750.
A file that reports 2,750 passes. One that reports 2,850 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}.
{F_04.06,r0190,c0010,} = {F_04.06,r0005,c0010,} + {F_04.06,r0060,c0010,} + {F_04.06,r0120,c0010,} + {F_04.06,r0010,c0010,}Other rules on F 04.06
- Trading financial assets, carrying amount must equal the sum of its two parts (v23404_h)Warning
- Debt securities, carrying amount must equal the sum of its two parts (v23397_h)Warning
- Equity instruments, carrying amount must equal the sum of its two parts (v23390_h)Warning
- Derivatives, carrying amount must equal the sum of its two parts (v23386_h)Warning
- Loans and advances, carrying amount must equal the sum of its two parts (v23378_h)Warning
- Equity instruments cannot be less than the sum of three rows (v5126_m)Blocking
- Loans and advances must equal the sum of its six parts (v5034_m)Blocking
- Debt securities must equal the sum of its five parts (v5033_m)Blocking
Every FINREP 9 rule, by template
Checks like this one, run at the point of submission, are the first step to real-time supervision.