The rule in plain words
For financial assets held for trading: if carrying amount is more than zero, these three added up must be more than zero:
- Level 3
- Level 2
- Level 1
How the Line4 Check report words itShowHide
Word for word as the report shows it when the rule fails.
If F_01.01: Financial assets held for trading > 0, then F_14.00: Financial assets held for trading, Level 3 + F_14.00: Financial assets held for trading, Level 2 + F_14.00: Financial assets held for trading, Level 1 > 0
What to do if your filing fails it
- 01Open the templates below and find the cells the rule reads.
- 02The check applies only when its first part holds in your file. When it does, the second part must hold too: fix the second part, or correct the first.
- 03EBA allows a small rounding difference, worked out from the decimals each value is reported with.
- 04It runs only when your filing indicators mark F 01.01 and F 14.00 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
Balance sheet statement: assets (F 01.01)
Row
- 0050Financial assets held for trading
Column
- 0010Carrying amount
Fair value hierarchy: financial instruments at fair value (F 14.00)
Row
- 0010Financial assets held for trading
Columns
- 0010Level 1
- 0020Level 2
- 0030Level 3
Show the rule as writtenShowHide
EBA's formula. Cells are written as {template, row, column, sheet}.
if ({F_01.01,r0050,c0010,} > 0) then (sum({F_14.00,r0010,c0030,},{F_14.00,r0010,c0020,},{F_14.00,r0010,c0010,}) > 0) else TrueOther rules on F 01.01
- If financial assets designated at fair value through profit or loss, carrying amount is more than zero, the sum of three columns must be more than zero (v4963_m)Warning
- If financial assets at fair value through other comprehensive income, carrying amount is more than zero, the sum of three columns must be more than zero (v4964_m)Warning
- If derivatives, hedge accounting, carrying amount is more than zero, the sum of three columns must be more than zero (v4965_m)Warning
- Trading financial assets in F 15.00.a cannot be more than trading financial assets in F 01.01 (v4969_m)Warning
- The sum of two columns cannot be more than financial assets held for trading, carrying amount in F 01.01 (v4970_m)Warning
- An upper-limit check across derecognition and financial liabilities associated with transferred financial assets, and balance sheet statement: assets (F 15.00.a, v4971_m)Warning
- Non-trading non-derivative financial assets measured at fair value to equity in F 15.00.a cannot be more than non-trading non-derivative financial assets measured at fair value to equity in F 01.01 (v4972_m)Warning
- Non-trading non-derivative financial assets measured at a cost-based method in F 15.00.a cannot be more than non-trading non-derivative financial assets measured at a cost-based method in F 01.01 (v4973_m)Warning
Every FINREP 9 rule, by template
Checks like this one, run at the point of submission, are the first step to real-time supervision.