prudential supervisory tasks vis à vis all credit institutions established in the participating Member States6 and, even when the credit institution is not under the direct supervision of the ECB, by [...] exclusive, i.e. national supervisory authorities do not retain any autonomous competence under the Single Supervisory Mechanism (SSM). This is not convincing. ► Banking supervision is an integral part [...] n of credit institutions (O.J. 2013, L 287/63)]. As of today, the group of Member States participating in the banking union is identical with the group of Eurozone Member States. The SSM is not an i
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in the proposed Consumer Credit Directive could be extended to mortgage credit either as they are or in a way which takes into account the specificities of mortgage credit; – assess the cost and benefits [...] loan. It should be also ensured that mortgage lenders are not discriminated against when accessing credit registers cross-border and that credit data circulates smoothly, while complying fully with EU [...] non-discriminatory cross-border access to credit registers and the duty to explain contained in the proposed Consumer Credit Directive could be extended to mortgage credit; – explore means of further increasing
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takes into account the perceived credit quality of the counterparty. The source for assessing that quality is credit ratings. Typically, if the counterparty has a high credit rating, effective collateral [...] as illustrated above, collateral coverage is not comprehensive. While collateral now covers 66% of credit exposure overall, more than one third of credit exposures remain uncollateralised. While the [...] ICAP, TFS, Tullet Markit Wire BClear 3.1. Credit default swaps This section focuses on credit default swaps (CDS), the most common type of credit derivative. 3.1.1. Nature of contracts A CDS
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current account surpluses export capital and thus are net lenders. As they do not need any foreign credits, they are not at risk of insolvency (risk category 1). Countries with current account deficits [...] exports. The resulting current account deficits were funded through foreign credits. In order to pay back the credits, the economies had to earn more than they spent. In other words, they have to [...] this is not possible. The result is an erosion of creditworthiness. The government is just the largest debtor in an economy. However, for a reliable evaluation of creditworthiness, not only the
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risk does not capture credit rating migration risk Introduce capital charges to capture credit rating migration risk √ √ √ √ Capital Requirements for Trading Book - Not all material credit risks in [...] and are usually not reflected in ex ante credit quality assessments EN 43 EN Unfunded credit protection A technique of credit risk mitigation where the reduction of the credit risk on the exposure [...] charge for default risk does not capture credit rating migration risk Problems: Current capital requirements for trading books do not adequately reflect all material credit risks which together with
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surplus in the EU ETS, and do not require per definition a large amount of international credits. Additional flexibility regarding the access to international credits could be foreseen in case of strong [...] access to international credits. Care should be taken that this does not lead again to too limited mitigation for too much money, as was the case for instance with international credits from certain industrial [...] nal credits compared to emissions (see table below). The number of allowances that were put in circulation has been increasing every year, as well as the supply and use of international credits, most
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request a credit from all European DGS if (Art. 10 (1)): - it has already levied extraordinary contributions by its member banks (Art. 9 (3), see above); - it is not repaying another credit at the same [...] of DGS in their Member States (Art. 3 (1) and (5)). – Each credit institution must be affiliated to a recognised DGS. If not, it must not accept deposits. (Art. 3 (1)) – The "resilience” of DGS must [...] or not additional protection promises overstep the line to misleading advertising if they are not backed by sufficient financial means. The Commission’s argument that such high guarantees are not viable
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payment cards (whether credit, debit, deferred debit or charge cards) and cards having phone- and home-banking applications. This definition does not include cross-border credit trans- fers; (1) ISO Standard [...] European Parliament and of the Council of 27 January 1997 on cross-border credit transfers (5) sought to improve cross-border credit transfer services and notably their efficiency. The aim was to enable in [...] consumers and small and medium-sized enterprises to make credit transfers rapidly, reliably and cheaply from one part of the Community to another. Such credit transfers and cross- border payments in general are
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securitised credits satisfied sound criteria for credit granting. In future, as an exemption, originators who buy and securitise credits from a third party that are already non-performing, need not ensure [...] refers to the pooling and conversion of credit claims of banks into tradeable securities. - In the case of true-sale securitisations, the original creditor of credit claims ("originator") transfers the [...] are securitisations where the originator transfers credit risks from its balance-sheet to investors. The originator does so by means of a credit protection agreement with the investor, which includes
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significantly, although not completely, which casts some doubt on the planned return to the bond market in summer 2014. However, this positive news must not blind us to the fact that, not only do the problems [...] of them. On the other hand, foreign credits used for consumption expenditure, do not create any value that might contribute to the repayment of interest and credit. In this case, domestic resources must [...] arise which are attributable to the foreign credit and whose additional output will facilitate the repayment of the foreign credit. In reality, this is obviously not the case. Risk Category 3 (red-amber
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