18. The general factors for the credibility and feasibility assessment of the recovery options to …

The general factors for the credibility and feasibility assessment of the recovery options to be considered by the institutions when determining the ORC should take into account the type of option, the specific business profile of the institutions and the ongoing macroeconomic environment in which they operate and should include in particular the following elements:

• a. the expected external impact on the key stakeholders as well as any anticipated impact of the execution of the recovery option on the financial system;
• b. past experience from the implementation of the recovery option by the institution or its peers provided there is available information;
• c. level of preparedness for implementing the recovery option;
• d. assessment of the continuity of operations following the implementation of the recovery option, including all the arrangements to maintain access to financial markets and the functioning of the internal processes;
• e. the expected financial impact on the institution’s relevant capital, liquidity, profitability and risk profiles on the basis of clear and transparent key assumptions ensuring the credibility of the estimation;
• f. the anticipated timeline for the implementation of the recovery option;
• g. presence of any operational, legal, reputational and financial impediments as well as any other impediments to the implementation of the recovery option.

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/