Single Rulebook Q&A

Question ID: 2018_4271
Legal act : Directive 2013/36/EU (CRD) as amended
Topic : Supervisory reporting
Article: 78
Paragraph:
Subparagraph:
COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2016/2070 - ITS on Supervisory Reporting (for benchmarking the internal approaches) (as amended)
Article/Paragraph : Annex I
Type of submitter: Credit institution
Subject matter : Reporting of collateral type in the template C 102
Question:

How to report collateral type in the template C 102?

Background on the question:

Reporting of collateral type in the template C 102.

According to the Draft ITS on 2019 portfolios in the supervisory benchmarking exercise (EBA-2018-ITS-04) published the last 2nd July 2018 in the Draft benchmarking package for 2019 exercise (end 2018 data), at Annex I template C 102 there are two types of collateral that was not in the annex I of last year (end 2017): Credit derivatives and Guarantees

All the collateral of Credit derivatives and guarantees were report in the previous exercise as “unfunded credit protection”.

In this exercise, these different collaterals were at the same level so we need to choose which ones to report to avoid creating duplication of information.

To be aligned with the COREP N08, the guarantees and credit derivatives belongs to a lower level than the unfunded credit protection.

Date of submission: 12/09/2018
Published as Final Q&A: 29/03/2019
EBA answer:

In template C 102 of Annex I of the ITS on Supervisory Reporting for Institutions - for benchmarking the internal approaches (ITS on benchmarking) the collateralization type shall be reported as “Credit derivatives” or “Guarantees”, in accordance with  columns 150 and 160 of template 8.1 of Annex I to Regulation (EU) No 680/2014. The option “unfunded credit protection” should be understood as “other unfunded credit protection”, and should be used for exposures subject to the double default treatment, i.e. for guarantees and credit derivatives covering exposures subject to the double default treatment reflecting Articles 202 and 217(1) of Regulation (EU) No 575/2013, which is in line with column 220 of template 8.1 of Annex I to Implementing Regulation (EU) No 680/2014. In addition, the Legal Reference in column 120 of C 102 of Annex II of the ITS on benchmarking should be changed to “Columns 150 to 220 of template 8.1 of Annex I to Implementing Regulation (EU) No 680/2014 ”.

Please see also Q&A 2018_4093.

Disclaimer:
The present Q&A on Supervisory reporting is provisional. It will be reviewed after the Implementing Regulation is in force and published in the Official Journal. The text of the Implementing Regulation may differ from the text of the draft ITS to which this Q&A refers.
Status: Final Q&A
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