EBA has launched a consultation on draft Regulatory Technical Standards (RTS) for determining the proxy spread and limited smaller portfolios for credit valuation adjustment (CVA) under Article 383(7) of the CRR. The amendments are intended to ensure a more adequate calculation of own funds requirements for CVA risk. In some cases this will include a reduction of own funds requirements for CVA risk, thus partially remedying the over-estimation of current own funds requirements for counterparties in the scope of the CVA risk charge in the EU. The consultation closes on 6 July. (Source: EBA consults on amending RTS on CVA proxy spread)