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Q&As refer to the provisions in force on the day of their publication. The EBA does not systematically review published Q&As following the amendment of legislative acts. Users of the Q&A tool should therefore check the date of publication of the Q&A and whether the provisions referred to in the answer remain the same.

Please note that the Q&As related to the supervisory benchmarking exercises have been moved to the dedicated handbook page. You can submit Q&As on this topic here.

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List of Q&A's

ALMM Template 71

Regarding the ALMM T71, CONCENTRATION OF COUNTERBALANCING CAPACITY BY ISSUER/COUNTERPARTY, do we show separately central banks’ exposures and government securities for the same country?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Draft ITS on Supervisory Reporting of Institutions
  • ID: 2015_2445
  • Topic: Supervisory reporting - Liquidity (LCR, NSFR, AMM)
  • Date of submission:
  • Published as final Q&A: 18/12/2015

Validation Rule v3812_s

This validation rule indicates that column 010 of C43.00a should be positive or equal to zero. For row 060; this amount could be negative in case of portfolio of repos that fulfill conditions of Article 429 - 11.

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) No 680/2014 - ITS on supervisory reporting of institutions (repealed)
  • ID: 2015_2444
  • Topic: Supervisory reporting - Leverage ratio
  • Date of submission:
  • Published as final Q&A: 03/02/2017

Market risk benchmarking portfolio 1.18 not fully clear how to book

Portfolio 1.18 is short 3-month OTC WTI Crude Oil puts with strike = 6-month end-of-day forward price on 15 October 2015. Is the underlying the 6m future, or spot?

  • Legal act: Directive 2013/36/EU (CRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Draft ITS on Supervisory Reporting of Institutions (for benchmarking the internal approaches)
  • ID: 2015_2440
  • Topic: Supervisory reporting - Supervisory Benchmarking
  • Date of submission:

Clarifications on portfolio specifications & general instructions for Annex V

Portfolio 1.10 - the portfolio references Bloomberg code eusv0210 curncy but then also states that “strike price is based on the IRS rate as per #9”. Market convention would suggest using the 2y 10y forward swap rate, unless the intention is to create a non-ATM option. Which of these should be used? Portfolio 1.13 - Should firms take the forward such that the notional of EUR is based on the forward FX rate (as opposed to spot FX rate) as of 15 October 2015? The wording just refers to “EUR/USD ECB reference rate”. General instructions: The instructions require [in Annex 5, section “Common instruction”, paragraph (b)] that the valuation of each portfolio shall be made at 4:30 pm London time. For a number of portfolios this is impractical. Indeed marking of some portfolios are usually done at the end of day of the relevant market. Marking at 4:30 London time would constitute for those portfolio an intra-day price which might be arduous to derive. This would typically be the case for : - FX instruments which are usually marked at NY COB - Commodities - CRM trades are marked at the end of their respective markets Therefore, we would suggest that the cutoff time is changed for some portfolio to be aligned with market conventions. Can you confirm whether this convention can be used?

  • Legal act: Directive 2013/36/EU (CRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Draft ITS on Supervisory Reporting of Institutions (for benchmarking the internal approaches)
  • ID: 2015_2439
  • Topic: Supervisory reporting - Supervisory Benchmarking
  • Date of submission:

Application of MREL to entities defined in Article 1(1)

Do entities referred to in Article 1(1), points (b), (c) or (d) also have to comply with the requirement for own funds and eligible liabilities (MREL)?

  • Legal act: Directive 2014/59/EU (BRRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2015_2438
  • Topic: MREL
  • Date of submission:
  • Published as final Q&A: 30/10/2015

MREL regarding liabilities governed by the law of a third-country

What are the obligations of an institution regarding liabilities governed by the law of a third-country and how are the requirements of Article 55 of Directive 2014/59/EU (BRRD) assessed? Should the competent authority or the resolution authority be in charge of gathering and assessing the evidence?

  • Legal act: Directive 2014/59/EU (BRRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2015_2437
  • Topic: MREL
  • Date of submission:
  • Published as final Q&A: 21/01/2022

Transfer to a recipient in full under a partial transfer

Is it possible to transfer certain classes of eligible liabilities to a recipient in full even in case not all liabilities of an institution are transferred to that same recipient?

  • Legal act: Directive 2014/59/EU (BRRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2015_2436
  • Topic: MREL
  • Date of submission:
  • Published as final Q&A: 28/10/2016

Exemption from bail-in of emergency liquidity assistance provided by the central bank

Does the BRRD provide for any exceptions from bail-in as regards liabilities from emergency liquidity assistance provided by the central bank before the institution is in resolution?

  • Legal act: Directive 2014/59/EU (BRRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2015_2435
  • Topic: Resolution tools and powers
  • Date of submission:
  • Published as final Q&A: 02/12/2016

Exclusion of “financial services” from the exemption from bail-in

Would the Commission agree that domestic legislation which excludes "financial services" from the exemption from bail-in retains this prerogative when implementing the BRRD?

  • Legal act: Directive 2014/59/EU (BRRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2015_2434
  • Topic: Resolution tools and powers
  • Date of submission:
  • Published as final Q&A: 18/11/2016

Exclusion of liabilities from the bail-in tool

Can the ability referred to in Article 44 (3) of Directive 2014/59/EU (BRRD) be exercised towards bail-inable liabilities or also to relevant capital instruments?

  • Legal act: Directive 2014/59/EU (BRRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2015_2433
  • Topic: Resolution tools and powers
  • Date of submission:
  • Published as final Q&A: 30/10/2015

Variable component of the remuneration of material risk takers

What types of liabilities are excluded from the exemption under Article 44(2)(g)(i)is by the reference to Article 92(2) of Directive 2013/36/EU (CRD) in the second subparagraph of Article 44(2) of Directive 2014/59/EU (BRRD)?

  • Legal act: Directive 2014/59/EU (BRRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2015_2432
  • Topic: Resolution tools and powers
  • Date of submission:
  • Published as final Q&A: 21/01/2022

Reference to paragraph 8 in Article 41 (9)

To which obligation under paragraph 8 is Article 41 (9) of Directive 2014/59/EU (BRRD) referring to (the one provided under the first or the second paragraph? If it were the case that Article 41 (9) provides that when a bridge institution is used for the purpose of transferring assets and liabilities of more than one institution under resolution the insolvency proceedings shall refer to the assets and liabilities transferred from each of the institutions under resolution and not to the bridge institution itself, what does that really mean?

  • Legal act: Directive 2014/59/EU (BRRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2015_2431
  • Topic: Resolution tools and powers
  • Date of submission:
  • Published as Rejected Q&A: 11/02/2022

Annex V portfolio clarifications

Annex V - portfolio 1.12. The October index has not yet been published. Which index should firms use? Annex V - portfolio 1.13. Is the Option expiry date 15 January 2015?

  • Legal act: Directive 2013/36/EU (CRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Draft ITS on Supervisory Reporting of Institutions (for benchmarking the internal approaches)
  • ID: 2015_2430
  • Topic: Supervisory reporting - Supervisory Benchmarking
  • Date of submission:

Exit criteria from non-performing forborne category

According to paragraph 157 of Annex V, a condition to exit the non-performing forborne category is that a period of (at least) one year has passed since the forbearance measures were applied (“cure period”). During this period, there must not be any past-due amount or concern regarding the full repayment of the exposure according to the post-forbearance conditions. If an amount due is unpaid during the “cure period”, the latter shall be considered as “discontinued” or “suspended”? In the former case, the counting of the year should restart from the date of any repayment; while in the latter case, the counting of the year shall continue since the date of any repayment.

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) No 680/2014 - ITS on supervisory reporting of institutions (repealed)
  • ID: 2015_2429
  • Topic: Supervisory reporting - FINREP (incl. FB&NPE)
  • Date of submission:
  • Published as final Q&A: 04/10/2019

Conditions for Resolution

At what point of time during a resolution procedure must the conditions for resolution pursuant to Article 32(1) BRRD be met? Is it necessary to only positively assess them at the initiation of the resolution process, i.e. at the moment the resolution authority initiates a resolution procedure?

  • Legal act: Directive 2014/59/EU (BRRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2015_2428
  • Topic: Resolution objectives and triggers
  • Date of submission:
  • Published as final Q&A: 22/07/2016

Corporate Treasury Entities

How should a non-banking entity within a non-financial group set up to act as a central corporate treasury function be classified for the purposes of LCR?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Delegated Regulation (EU) 2015/61 - DR with regard to liquidity coverage requirement
  • ID: 2015_2426
  • Topic: Liquidity risk
  • Date of submission:
  • Published as Rejected Q&A: 11/02/2022

Deposits reported in P 01.02 and in P 02.01

This question aims to clarify the validation rule v4134_m of the Funding Plan template. This validation rule states that the total deposits reported under "P 02.01 - Insured and uninsured deposits" must be equal or smaller than the deposits reported on lines 020, 060 and 120 of the frame "P 01.02 - Liabilities". Due to several reporting issues we intend to clarify if the total deposits reported under "P 02.01 - Insured and uninsured deposits" only refer to retail deposits under the Article 411.2 of CRR

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: EBA/GL/2014/04 - Guidelines on harmonised definitions and templates for funding plans of credit institutions - repealed by EBA/GL/2019/05
  • ID: 2015_2425
  • Topic: Supervisory reporting - Funding Plans
  • Date of submission:
  • Published as final Q&A: 03/02/2017

C105.02 / 010 - Portfolio ID

C105.02 / 010 - Portfolio ID. Is it possible to have multiple Portfolio IDs by model?

  • Legal act: Directive 2013/36/EU (CRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Draft ITS on Supervisory Reporting of Institutions (for benchmarking the internal approaches)
  • ID: 2015_2424
  • Topic: Supervisory reporting - Supervisory Benchmarking
  • Date of submission:

C105.01 / 080 - Cure rate for defaulted assets

C105.01 / 080 - Cure rate for defaulted assets. Is this only applicable to the PD models?

  • Legal act: Directive 2013/36/EU (CRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Draft ITS on Supervisory Reporting of Institutions (for benchmarking the internal approaches)
  • ID: 2015_2423
  • Topic: Supervisory reporting - Supervisory Benchmarking
  • Date of submission:

C105.01 / 050 - EAD weighted average default rate for calibration

C105.01 / 050 - EAD weighted average default rate for calibration. Is the specification only relevant to the PD models themselves? Also, does this mean the PD actually used for model build, or the latest monitored position?

  • Legal act: Directive 2013/36/EU (CRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Draft ITS on Supervisory Reporting of Institutions (for benchmarking the internal approaches)
  • ID: 2015_2421
  • Topic: Supervisory reporting - Supervisory Benchmarking
  • Date of submission: