The Commission has published a final version of its Delegated Regulation to correct Regulatory Technical Standards (RTS) under:

  • the Capital Requirements Regulation (CRR) for non-delta risk of options: the change is intended properly to implement EBA’s intention that only institutions that exclusively purchase options and warrants may use the simplified approach to calculating these risks; and
  • the fourth Capital Requirements Directive (CRD4) on qualitative and appropriate quantitative criteria to identify categories of staff whose professional activities have a material impact on an institution’s risk profile. EBA intended Article 4(1) of the RTS to identify as material risk takers those individuals with remuneration equal to or greater than that of any staff identified according to criteria set out in Article 3. However, the wording as adopted meant that individuals with remuneration equal to or greater than that of members of senior management only were covered – which was not only not the intention but also duplicative of another part of the RTS.

(Source: Commission corrects CRR non-delta risk and CRD identified staff RTS)