PRU-EPRS 1.19 Instructional Guidelines
|Item No.||Item||Instructional Guidelines|
|B600_2110||Elements of Common Equity Tier 1 ("CET1") Capital||CET1 Capital consists of the sum of the capital elements set out in PIB Rule 3.13.2 and section 3.16.|
|B600_2120||Adjustments to / Deductions from CET1 Capital||Adjustments to and deductions from CET1 Capital are explained in PIB Rule 3.13.5 and 13.13.7 to 3.13.19.|
|B600_2210||Elements of Additional Tier 1 ("AT1") Capital||
Section 3.14 of the PIB module contains Rules regarding AT1 Capital.
Elements of AT1 Capital are explained in PIB 3.14.3.
|B600_2220||Deductions from AT1 Capital||Deductions from AT1 Capital are set out in PIB Rule 3.14.4 to 3.14.8.|
|B600_2310||Elements of Tier 2 ("T2") Capital||
Section 3.15 of the PIB module contains the Rules regarding Tier 2 Capital.
Elements of T2 Capital are explained in PIB Rules 3.15.2 - 3.15.3.
|B600_2320||Deductions from T2 Capital||Deductions from T2 Capital are set out under PIB Rules 3.15.4 to 3.15.9.|
|B600_2400||Base Capital Requirement ("BCR")||PIB section 3.6 contains Rules regarding BCR.|
|B600_2500||Expenditure Based Capital Requirement ("EBCM")||Rules regarding EBCM are set out in section 3.7 of the PIB module.|
|B600_2610||Credit and Counterparty Risk Capital Requirement||Credit and Counterparty Risk Capital Requirement is derived from calculations in forms B10A1 and B10A2. Rules relating to calculation of Credit and Counterparty Risk Capital Requirement are set out in Chapter 4 of the PIB module.|
|B600_2620||Displaced Commercial Risk||
Displaced Commercial Risk requirement is calculated in accordance with chapter 5 of the IFR Module. DCR is applicable to
|B600_2630||Market Risk Capital Requirement||Market Risk Capital Requirement is derived from the calculations in form B10A3.|
|B600_2640||Operational Risk Capital Requirement||
Operational Risk Capital Requirement is applicable to
|Capital Conservation Buffer ("CCB") - 25% of Capital Requirement||
Rules relating to Capital Conservation Buffer are set out in section 3.9 of the PIB module. Capital Conservation Buffer applies to an
|Individual Capital Requirement ("ICR")||
ICR applies to an
(a) impose an Individual Capital Requirement; or
(b) vary or withdraw an Individual Capital Requirement.
Derived from GM5/2007 (Made 16th December 2007). [VER1/12-07]