+88. Areas for analysis by competent authorities may include: a. overall strategy: competent …

88. Areas for analysis by competent authorities may include: a. overall strategy: competent …

Areas for analysis by competent authorities may include:

  • a. overall strategy: competent authorities may consider the main quantitative and qualitative management objectives;
  • b. projected financial performance: competent authorities may consider projected financial performance, covering the same or similar metrics as those covered in the quantitative analysis of the current business model;
  • c. success drivers of the strategy: competent authorities may determine the key changes proposed to the current business model to meet the objectives;
  • d. assumptions: competent authorities may determine the plausibility and consistency of the assumptions made by the investment firm that drive its strategy and forecasts; these may include assumptions in areas such as macro-economic metrics, market dynamics, volume and margin growth in key products, segments and geographies; and
  • e. execution capabilities: competent authorities may determine the investment firm’s execution capabilities based on the management’s track record in adhering to previous strategies and forecasts, and the complexity and ambition of the strategy set compared to the current business model.

1. Overview

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1.1 References

1.2 Identified Requirements

1.3 Related Standards

2. Identified Requirements

Requirements

3. Related Standards

Standards
  • EBA -

    EN: Guidelines and other publications of the European Banking Authority (EBA), https://www.eba.europa.eu/. © European Banking Authority. Reproduction is authorised provided the source is acknowledged (EBA legal notice). Divided into sections and converted into the GRCA format, the wording unchanged. Only the versions published by the EBA are authoritative.

    DE: Leitlinien und weitere Veröffentlichungen der Europäischen Bankenaufsichtsbehörde (EBA), https://www.eba.europa.eu/. © European Banking Authority. Wiedergabe mit Quellenangabe gestattet (Rechtlicher Hinweis der EBA). In Abschnitte aufgeteilt und in das GRCA-Format umgewandelt, der Wortlaut unverändert. Maßgeblich sind allein die von der EBA veröffentlichten Fassungen.