148. Institutions should form a view on the unexpected losses that may originate from …

Institutions should form a view on the unexpected losses that may originate from conduct-related events based on a combination of:

• a) judgement;
• b) historical loss experience (e.g. the institution’s largest conduct-related loss over the past five years);
• c) the level of expected annual loss for conduct-related risk;
• d) conduct-related scenarios where potential exposures over a shorter time horizon (e.g. five years) are considered; and
• e) losses experienced by similar entities or by entities in similar situations (e.g. in cases of litigation costs).

4.7.6 Liquidity risk

1. Overview

1.1 References

1.2 Identified Requirements

1.3 Related Standards

2. Identified Requirements

3. Related Standards

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