243. Through the assessment of inherent risks not covered by Pillar 1 own funds requirements …

Through the assessment of inherent risks not covered by Pillar 1 own funds requirements, competent authorities should determine the main drivers of the investment firm’s risks and evaluate the significance of the impact of these risks for the investment firm. The assessment of such risks should be structured around the following main steps:

• a. preliminary assessment;
• b. assessment of the nature and scale of investment activities that incur a risk for the investment firm not covered by Pillar 1 own funds requirements;
• c. assessment of the systems and processes regarding these activities.

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/