74. Within the risk assessment, financial entities should also consider the expected benefits and …

Within the risk assessment, financial entities should also consider the expected benefits and costs of the proposed third-party arrangement, including weighting any risks that may be reduced or better managed against any risks that may arise as a result of such proposed arrangement, taking into account at least:

• a. concentration risks at entity level, including from:
• i. using a TPSP that is not easily substitutable; and
• ii. multiple third-party arrangements with the same TPSP or closely connected TPSPs;
• b. the aggregated risks resulting from the use of TPSPs to perform several functions across the financial entity and, in the case of groups of institutions or institutional protection schemes, the aggregated risks on a consolidated basis or on the basis of the institutional protection scheme;
• c. in the case of significant institutions, the step-in risk, i.e. the risk that may result from the need to provide financial support to a TPSP in distress or to take over its business operations; and
• d. the measures implemented by the financial entity and by the TPSP to manage and mitigate the risks.

1. Übersicht

1.1 Referenzen

1.2 Identifizierte Anforderungen

1.3 Zugehörige Standards

2. Identifizierte Anforderungen

3. Zugehörige Standards

• EBA - Published by the European Banking Authority at https://www.eba.europa.eu/