Guideline 5: Qualitative assessment of the outcomes of the tests and DGS resilience

Assessment system for individual indicators

5.1 When grading their resilience in respect of the different indicators included in these guidelines, DGSs should use the following assessment system.

5.2 Since the purpose of stress testing is twofold, assessing the DGS’s resilience and identifying shortcomings or ‘ areas for improvement ’ in order to improve the DGS’s systems, it is expected and welcomed that a DGS identifies such areas for improvement when performing its stress-test exercises. Therefore, DGSs should report, when applying individual indicators, a qualitative score from the following different categories:

1) The DGS has identified none or a low number of areas for improvement and such areas are unlikely to affect the ability of the DGS to perform its tasks under the conditions of the DGSD.

2) The DGS identified a significant number of areas for improvement, but such areas for improvement are unlikely to affect the ability of the DGS to perform its tasks under the conditions of the DGSD, because, for example, such shortcomings are isolated and/or can easily be addressed at the point of failure.

3) The DGS identified a low number of areas for improvement, however, such areas for improvement would affect the ability of the DGS to perform its tasks under the conditions of the DGSD (therefore, the DGS should indicate which measures have been taken or are scheduled in the near future and any outcomes resulting from follow-up tests).

4) The DGS identified a significant number of areas for improvement, and such areas for improvement would affect the ability of the DGS to perform its tasks under the conditions of the DGSD (therefore, the DGS should indicate which measures have been taken or are scheduled in the near future and any outcomes resulting from follow-up tests).

5.3 The qualitative scores should be supplemented by quantitative developments and explanations justifying the reported result when requested by the reporting template.

From indiv idual indicators to DGS’ resilience in the achievement of its legal functions

5.4 When grading their resilience in respect of the legal functions assessed in the core tests, DGSs should use the following assessment system.

5.5 DGSs should report, for each core test, if they assess themselves as ‘ sufficiently resilient ’ or ‘ insufficiently resilient ’ .

• • ‘ Sufficiently resilient ’ means that the DGS is able to fulfill the function, entrusted in accordance with Directives 2014/49/EU and 2014/59/EU, which has been assessed by means of the relevant core test.
• • ‘ Insufficiently resilient ’ means that the DGS is not able to fulfill the function, entrusted in accordance with Directives 2014/49/EU and 2014/59/EU, which has been assessed by means of the relevant core test.

5.6 DGSs should supplement this assessment by explanations justifying the reporting results.

5.7 If a DGS is legally mandated to perform a certain task under the DGSD, but did not conduct a certain core test applicable to the DGS, the DGS should report this by filling in ‘ area not tested ’ in the relevant field of the reporting template and explaining the reasons for not assessing the area.

Assessment system for overall resilience

5.8 When grading their overall resilience, DGSs should use the following assessment system.

5.9 DGSs should report whether the overall resilience in the achievement of its full legal mandate is ‘ Sufficiently resilient ’ or ‘ Insufficiently resilient ’ :

• • ‘ Sufficiently resilient ’ means that the DGS is able to fulfill all of the functions for which it is entrusted in accordance with Directives 2014/49/EU and 2014/59/EU.
• • ‘ Insufficiently resilient ’ means that the DGS is not able to fulfill at least one of the functions for which it is entrusted in accordance with Directives 2014/49/EU and 2014/59/EU.

5.10 DGSs should supplement this assessment by explanations justifying the reporting results.

1. Forbhreathnú

1.1 Tagairtí

1.2 Ceanglais aitheanta

1.3 Caighdeáin ghaolmhara

2. Ceanglais aitheanta

3. Caighdeáin ghaolmhara

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