+174. As a minimum, competent authorities should consider the following: a. the risk appetite with …

174. As a minimum, competent authorities should consider the following: a. the risk appetite with …

As a minimum, competent authorities should consider the following:

  • a. the risk appetite with regard to Risk-to-Client, considering the business model of the investment firm;
  • b. the weight of the K-factor amount for Risk-to-Client compared to the total K-factor amount;
  • c. forecasts of the K-factor amount for Risk-to-Client, if available;
  • d. the nature, size and composition of the investment firm’s on- and off-balance sheet client-related items;
  • e. if available, the cost of operational losses on the client accounts versus fees.

1. Overview

,

1.1 References

1.2 Identified Requirements

1.3 Related Standards

2. Identified Requirements

Requirements

3. Related Standards

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