20. For a satisfactory level of prudence to be ensured, the notional own funds requirements for …

For a satisfactory level of prudence to be ensured, the notional own funds requirements for subsidiary undertakings established in third countries should equal at least the requirements calculated in accordance with Part Three and Part Four of Regulation (EU) 2019/2033. If the European Commission issues an equivalence decision pursuant to Article 47 of Regulation (EU) 600/2014 concerning Regulation (EU) 2019/2033 to the prudential regime of a third country, the capital requirements calculated according to that third-country prudential regime should be considered as having a satisfactory level of prudence. If a parent undertaking of a third country does not hold own funds requirements at least equal to the notional own funds requirements necessary to achieve a satisfactory level of prudence as defined in these guidelines, or at a higher level, if the competent authority has adopted a decision to allow the reduction of own funds requirements to an amount which is higher than the one needed to achieve a satisfactory level of prudence, the lower amount permission should not be granted.

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/