+Guidelines on the application of the group capital test for investment firms (EBA/GL/2024/03)
---+1. Compliance and reporting obligations
------+Status of these guidelines
---------+1. This document contains guidelines issued pursuant to Article 16 of Regulation (EU) No 1093/2010 …
---------+2. These guidelines set the EBA view of appropriate supervisory practices within the European …
------+Reporting requirements
---------+3. According to Article 16(3) of Regulation (EU) No 1093/2010, competent authorities must notify …
---------+4. Notifications will be published on the EBA website, in line with Article 16(3).
---+2. Subject matter, scope and definitions
------+Subject matter
---------+5. These guidelines specify how competent authorities should implement Article 8(1) and Article …
------+Scope of application
---------+6. These guidelines apply on an individual and consolidated basis within the scope set out in …
------+Addressees
---------+7. These guidelines are addressed to competent authorities as defined in Article 4, points(2)(i) of …
------+Definitions
---------+8. Unless otherwise specified, terms used and defined in Directive (EU) 2019/2034 or Regulation …
---+3. Implementation
------+Date of application
---------+9. These guidelines apply from 1 January 2025.
---------+10. Competent authorities should, by the time of application of these guidelines, ensure that all …
---+4. Guidelines
------+4.1 General considerations
---------+11. A competent authority should not grant a group capital test or a lower amount permission …
------+4.2 Simplified group capital test permission
---------+12. A competent authority should not be prevented from deeming an investment firm group to be …
---------+13. Competent authorities should not be prevented from applying Sections 4.3 and 4.4 to assess …
------+4.3 Group capital test permission: conditions for the investment firm group being deemed sufficiently simple
---------+14. Competent authorities should not be prevented from deeming an investment firm group not meeting …
------+4.4 Group capital test permission: conditions for deeming that the investment firm group does not pose significant risks to clients or to the market
---------+15. Competent authorities should not be prevented from deeming that an investment firm group not …
---------+16. If any of the undertakings of the group is subject to any proceedings referred to in Article …
---------+17. For the purposes of assessing the condition referred to in paragraph 15(a), competent …
------+4.5 Lower amount permission: conditions for allowing a lower level of own funds
---------+18. Competent authorities should not be prevented from granting a lower amount permission where the …
---------+19. The own funds requirements of any subsidiary undertaking in a third country should be …
---------+20. For a satisfactory level of prudence to be ensured, the notional own funds requirements for …
---------+21. When applying Article 8(4) of Regulation (EU) 2019/2033, competent authorities should not allow …
------+4.6 Information to be assessed
---------+22. To assess whether the investment firm group can be granted the group capital test permission in …
---------+23. Contractual agreements referred to in paragraphs 12(d) and 14(i) should be taken into account …
---------+24. If Section 4.2 is applicable, competent authorities may limit their assessment to the …
---------+25. To assess whether the investment firm group can be granted the group capital test permission in …
------+4.7 Granting, amending and withdrawing the authorisation
---------+26. To assess whether the investment firm group can maintain its group capital test permission …
---------+27. To assess whether the investment firm group can maintain its group capital test permission …
---------+28. Where a competent authority concludes that the conditions under which a group capital test or …
---------+29. If the Union parent investment firm, the Union parent investment holding company or the Union …
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Guidelines on the application of the group capital test for investment firms (EBA/GL/2024/03)

Guidelines on the application of the group capital test for investment firms (EBA/GL/2024/03)

https://www.eba.europa.eu/activities/single-rulebook/regulatory-activities/investment-firms/guidelines-application-group-capital-test-investment-firms – PDF

1. Overview

,
1. Compliance and reporting obligations

1. Compliance and reporting obligations
2. Subject matter, scope and definitions

2. Subject matter, scope and definitions
3. Implementation

3. Implementation
4. Guidelines

4. Guidelines

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/