42. Where institutions adopt one of the approaches described in paragraph 31(a) and the resulting …

Where institutions adopt one of the approaches described in paragraph 31(a) and the resulting estimates produce a lower risk weight than the risk weight that would apply to an otherwise identical exposure in respect of which the institution has no unfunded credit protection, the final risk weight cannot be lower than the risk weight of a comparable direct exposure to the guarantor in accordance with Article 161(3) and 164(2) of Regulation (EU) No 575/2013, i.e. the risk weight floor applies.

1. Overview

1.1 References

• Article 161 3.
• Article 164 2.

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/