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2 min readWarningEBA reporting framework 4.2Updated 10 November 2026

Net profit or loss applicable to banking book must equal the sum of its five parts (EBA rule v90310_m)

A warning in the own funds and capital requirements return (COREP own funds), on template C 16.02, operational risk - business indicator component (opr BIC).

Check your file against this ruleWhat to do if it fails

The rule in plain words

Net profit or (-)loss applicable to banking book must equal these five added up:

  • Banking book - exchange differences [gain or (-) loss], net
  • Gains or (-) losses on non-trading financial assets mandatorily at fair value through profit or loss, net
  • Gains or (-) losses on derecognition of financial assets and liabilities not measured at fair value through profit or loss, net
  • Banking book - gains or (-) losses from hedge accounting, net
  • Gains or (-) losses on financial assets and liabilities designated at fair value through profit or loss, net

EBA checks it for six columns: accounting value (0010), value - prudential Boundary approach (0020), accounting value (0030), value - prudential Boundary approach (0040), accounting value (0050) and value - prudential Boundary approach (0060). That makes six checks. A failure names the one that failed.

How the Line4 Check report words itShow

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.

Value - Prudential Boundary Approach: Net profit or (-)loss applicable to banking book = Banking book - Exchange differences [gain or (-) loss], net + Gains or (-) losses on non-trading financial assets mandatorily at fair value through profit or loss, net + Gains or (-) losses on derecognition of financial assets and liabilities not measured at fair value through profit or loss, net + Banking book - Gains or (-) losses from hedge accounting, net + Gains or (-) losses on financial assets and liabilities designated at fair value through profit or loss, net

What to do if your filing fails it

  1. 01Open the template below and find the cells the rule reads.
  2. 02Add up the parts in your file and compare the result with the total.
  3. 03If they differ, a part is missing, a value sits in the wrong cell, or the total is out of date.
  4. 04EBA allows a small rounding difference, worked out from the decimals each value is reported with.
  5. 05It runs only when your filing indicators mark C 16.02 as reported.
  6. 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

Operational risk - business indicator component (opr BIC) (C 16.02)

Rows

  • 0430Net profit or (-)loss applicable to banking book
  • 0440Gains or (-) losses on derecognition of financial assets and liabilities not measured at fair value through profit or loss, net
  • 0450Gains or (-) losses on non-trading financial assets mandatorily at fair value through profit or loss, net
  • 0460Gains or (-) losses on financial assets and liabilities designated at fair value through profit or loss, net
  • 0470Banking book - Gains or (-) losses from hedge accounting, net
  • 0480Banking book - Exchange differences [gain or (-) loss], net

Columns

  • 0010Accounting Value
  • 0020Value - Prudential Boundary Approach
  • 0030Accounting Value
  • 0040Value - Prudential Boundary Approach
  • 0050Accounting Value
  • 0060Value - Prudential Boundary Approach

A worked example

The first of its checks, with simple numbers.

Illustrative values
Banking book - exchange differences [gain or (-) loss], net1,200
Gains or (-) losses on non-trading financial assets mandatorily at fair value through profit or loss, net800
Gains or (-) losses on derecognition of financial assets and liabilities not measured at fair value through profit or loss, net450
Banking book - gains or (-) losses from hedge accounting, net300
Gains or (-) losses on financial assets and liabilities designated at fair value through profit or loss, net150
Together2,900
What the rule then expects

Net profit or (-)loss applicable to banking book must then be 2,900.

2,900Passes
3,000Fails

A file that reports 2,900 passes. One that reports 3,000 fails, by 100.

The numbers are illustrative, reported to the unit, so the rounding tolerance does not change the result.

Show the rule as writtenShow

EBA's formula, as written out for the first of its checks. Cells are written as {template, row, column, sheet}.

{C_16.02,r0430,c0040,} = sum({C_16.02,r0480,c0040,},{C_16.02,r0450,c0040,},{C_16.02,r0440,c0040,},{C_16.02,r0470,c0040,},{C_16.02,r0460,c0040,})

The next five:

{C_16.02,r0430,c0010,} = sum({C_16.02,r0470,c0010,},{C_16.02,r0440,c0010,},{C_16.02,r0450,c0010,},{C_16.02,r0460,c0010,},{C_16.02,r0480,c0010,}){C_16.02,r0430,c0020,} = sum({C_16.02,r0450,c0020,},{C_16.02,r0440,c0020,},{C_16.02,r0480,c0020,},{C_16.02,r0460,c0020,},{C_16.02,r0470,c0020,}){C_16.02,r0430,c0050,} = sum({C_16.02,r0460,c0050,},{C_16.02,r0480,c0050,},{C_16.02,r0470,c0050,},{C_16.02,r0440,c0050,},{C_16.02,r0450,c0050,}){C_16.02,r0430,c0030,} = sum({C_16.02,r0440,c0030,},{C_16.02,r0480,c0030,},{C_16.02,r0450,c0030,},{C_16.02,r0460,c0030,},{C_16.02,r0470,c0030,}){C_16.02,r0430,c0060,} = sum({C_16.02,r0450,c0060,},{C_16.02,r0470,c0060,},{C_16.02,r0460,c0060,},{C_16.02,r0480,c0060,},{C_16.02,r0440,c0060,})

Every COREP own funds rule, by template

Checks like this one, run at the point of submission, are the first step to real-time supervision.