36. Institutions may adopt the substitution of risk parameters approach specified in paragraph …

Institutions may adopt the substitution of risk parameters approach specified in paragraph 31(a)(ii) only where the following conditions are met:

(a) the unfunded credit protection is eligible according to the relevant criteria for unfunded credit protection set out in Part Three, Title II, Chapter 4 of Regulation (EU) No 575/2013;
(b) the institution may reasonably expect that the direct costs of exercising the unfunded credit protection are negligible with respect to the amount covered by the unfunded credit protection;
(c) the guarantor is in a non-defaulted status.

1. Forbhreathnú

Teideal	Rialáil

Ceanglais
Foinse	Ceanglas

Caighdeáin
Foinse	Ceanglas

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