The rule in plain words
Values provided must be positive
In Own funds requirements (CA2) (OF02.00.01.01): "Total risk exposure amount" in column "Output Floor" (row 0010, column 0030) must not be negative.
What to do if your return fails it
- 01Open the table below and find the cells the rule reads.
- 02Look for a value below zero in these cells, such as an amount entered as a negative number.
- 03It runs only when your filing indicators mark OF02.00.01 as reported.
- 04This is a warning. It does not stop the return on its own, but your supervisor may ask you to explain it.
The cells it reads
Own funds requirements (CA2) (OF02.00.01.01)
Row
- R0010Total risk exposure amount
Column
- C0030Output Floor
Which returns it applies to
Line4 Check runs it on the own funds (PRA001) return on Bank of England banking taxonomy 4.1.1. The Bank of England applies it to own funds (PRA001) returns, as a warning.
The Bank’s own words and formula
The first paragraph of the plain words above is the Bank of England’s own, word for word, from its list of validations. The second spells out its formula, with each cell named from its templates.
Show the formulaShowHide
The Bank of England's formula. Cells are written as {t: table, r: row, c: column}.
{t: OF02.00.01.01, r: 0010, c: 0030} >= 0Other rules on Own funds requirements (CA2) (OF02.00.01.01)
- Total credit risk RWAs under standardised approaches only should reflect the sum of SA on the SA, and IRB exposures on the SA (boe_b0716)Blocking
- Own funds requirements (CA2): values provided must be positive (boe_b0706)
- Own funds requirements (CA2): a conditional check (boe_b0718)Blocking
- Totals provided in OF 02.01 and OF 02.00 should be consistent (boe_b0720)
- Own funds requirements (CA2): non-modelled RWEA should be the same value across templates for the relevant exposure class (boe_b0654)Blocking
- Own funds requirements (CA2): non-modelled RWEA should be the same value across templates for the relevant exposure class (boe_b0653)Blocking
- Own funds requirements (CA2): non-modelled RWEA should be the same value across templates for the relevant exposure class (boe_b0652)Blocking
- Own funds requirements (CA2): non-modelled RWEA should be the same value across templates for the relevant exposure class (boe_b0651)Blocking
Every PRA banking rule on OF02.00.01.01
Checks like this one, run at the point of submission, are the first step to real-time supervision. Line4 builds SupTech software for financial regulators that runs checks like these as each return arrives.