The rule in plain words
Applicable weight cannot be more than 0.5.
EBA checks it for four rows: corporate debt securities (CQS2/3), corporate debt securities - non-interest bearing assets (held by credit institutions for religious reasons) (CQS1/2/3, shares (major stock index) and non-interest bearing assets (held by credit institutions for religious reasons) (CQS3-5). That makes four 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.
Applicable weight: Corporate debt securities - non-interest bearing assets (held by credit institutions for religious reasons) (CQS1/2/3 <= 0.5
What to do if your filing fails it
- 01Open the template below and find the cells the rule reads.
- 02Look for a value outside the limit in these cells.
- 03If the value is a percentage, EBA expects it as a decimal: 12% is reported as 0.12.
- 04EBA compares the values exactly here: there is no rounding tolerance.
- 05It runs only when your filing indicators mark C 72.00 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
Liquidity coverage , liquid assets, total (DA) (C 72.00.a)
Rows
- 0360Corporate debt securities (CQS2/3)
- 0370Corporate debt securities - non-interest bearing assets (held by credit institutions for religious reasons) (CQS1/2/3
- 0380Shares (major stock index)
- 0390Non-interest bearing assets (held by credit institutions for religious reasons) (CQS3-5)
Column
- 0030Applicable weight
A worked example
The first of its checks, with simple numbers.
Corporate debt securities - non-interest bearing assets (held by credit institutions for religious reasons) (CQS1/2/3, applicable weight can then be at most 0.5.
A file that reports 0.5 passes. One that reports 0.6 fails, by 0.1.
The numbers are illustrative.
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}.
{C_72.00.a,r0370,c0030,} <= 0.5The next three:
{C_72.00.a,r0390,c0030,} <= 0.5{C_72.00.a,r0380,c0030,} <= 0.5{C_72.00.a,r0360,c0030,} <= 0.5Other rules on C 72.00.a
- Applicable weight cannot be more than 0.65 (v7567_m)Warning
- Qualifying CIU shares or units: underlying is asset-backed securities (commercial or individuals, Member State, CQS1), applicable weight cannot be more than 0.6 (v7569_m)Warning
- Applicable weight cannot be more than 0.7 (v7566_m)Warning
- Qualifying CIU shares or units: underlying is corporate debt securities (CQS2/3), shares (major stock index) or non-interest bearing assets (he, applicable weight cannot be more than 0.45 (v7570_m)Warning
- Qualifying CIU shares or units: underlying is extremely high quality covered bonds, applicable weight cannot be more than 0.88 (v7565_m)Warning
- If amount or market value is zero or more, applicable weight cannot be negative (v7571_m)Warning
- Extremely high quality covered bonds, applicable weight cannot be more than 0.93 (v7564_m)Warning
- Applicable weight cannot be more than 0.75 (v7563_m)Warning
Checks like this one, run at the point of submission, are the first step to real-time supervision.