170. Through the assessment of inherent Risk-to-Client, competent authorities should determine the …

Through the assessment of inherent Risk-to-Client, competent authorities should determine the main drivers of the investment firm’s Risk-to-Client K-factor amounts and evaluate the significance of the prudential impact of this risk for the investment firm. The assessment of inherent Risk-to-Client should therefore be structured around the following main steps:

• a. preliminary assessment;
• b. assessment of the nature and scale of services and activities for managing client assets, holding client money, safeguarding client assets and handling client orders; and
• c. assessment of the systems and processes regarding these activities.

1. Overview

1.1 References

1.2 Identified Requirements

1.3 Related Standards

2. Identified Requirements

3. Related 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.