In December 2004, the Committee of European Banking Supervisors (CEBS) published guidelines on the use of prudential filters for regulatory capital (the Guidelines). The aim of the Guidelines were to maintain the definition and quality of regulatory capital for institutions using International Financial Reporting Standards (IFRS) for prudential reporting. The Guidelines supplement the measures introduced by Article 64(4) of Directive 2006/48/EC.

  • CEBS has now published an analytical report on prudential filters for regulatory capital. The analytical report contains: A qualitative analysis on how the Guidelines, the provision of Article 64(4) of Directive 2006/48/EC and other prudential adjustments (affecting regulatory capital) have been implemented by CEBS members.]
  • An overview of the quantitative impact of the prudential filters to assess their efficiency in terms of eliminating unwanted changes in regulatory own funds arising from the introduction and application of IFRS.
  • A discussion of the possible scope for further convergence regarding the implementation of specific aspects of certain filters or regarding options provided in the Guidelines.

View CEBS publishes an analytical report on prudential filters, 5 October 2007