32. Resolution authorities should set out a methodology for the institutions to structure the …

Resolution authorities should set out a methodology for the institutions to structure the transfer perimeter destined to the AMC under the AST in such a way that the long-term value of the perimeter is above its market value, in order to avoid the destruction of value, minimise the cost of resolution and protect public funds (Article 31(2) of Directive 2014/59/EU). The long-term value can be estimated based on the current market value for performing portfolios. However, the issue arises for impaired or non-performing portfolios, in which cases the authorities should assess the perspectives of improvement for the concerned portfolios and markets derived from available market analyses, leverage on the supervisors’ assessment and assess potential combinations with performing assets (combination of different units as per paragraph 15 of these guidelines) to positively impact the overall profile of the transfer perimeter.

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.