1. When verifying an institution’s compliance with the requirements set out in Articles 325bh, 325bi, 325bn, 325bo, and 325bp of Regulation (EU) No 575/2013, competent authorities shall assess:
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(a)
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the governance aspects, in accordance with Chapter 2 of this Regulation;
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(b)
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aspects relating to the internal risk-measurement model used to compute the expected shortfall measure and the stress scenario risk measure, in accordance with Chapter 3 of this Regulation;
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(c)
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aspects relating to the internal default risk model used to compute the additional own funds requirement for default risk, in accordance with Chapter 4 of this Regulation.
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For the purposes of the first subparagraph, competent authorities shall apply the principles related to proportionality in accordance with Article 2, the quality of the documentation in accordance with Article 3, and the outsourcing arrangements in accordance with Article 4.