in force 2024-01-09 MODIFIED+2,512 −0§
Amended by Regulation (EU) 2022/2036 32022R2036 · Regulation (EU) 2023/2869 32023R2869
applies from: unchanged
The after text adds a new paragraph 5 requiring institutions and entities referred to in Article 1(1), points (b), (c) and (d), of Directive 2014/59/EU to deduct from eligible liabilities items their holdings of own funds instruments and eligible liabilities instruments when specified conditions concerning subsidiary and resolution-entity status are met.
This new paragraph also sets out a derogation from that deduction requirement where the holding entity complies with the relevant requirement on a consolidated basis and the issuing entity is included in that consolidation, and it clarifies how the terms eligible liabilities items and own funds instruments and eligible liabilities instruments are to be understood for purposes of the paragraph.
Paragraphs 1 through 4 remain unchanged between the two versions.
Cited: Art. 72e, v2 · Art. 72e, v1
text before / after
02013R0575-20230628 → 02013R0575-20240109
Article 72e Deductions from eligible liabilities items 1. Institutions that are subject to Article 92a shall deduct the following from eligible liabilities items: (a) direct, indirect and synthetic holdings by the institution of own eligible liabilities instruments, including own liabilities that that institution … 740 unchanged words … the adjusted amount in accordance with the first subparagraph, the difference between the amount of holdings of own funds instruments and eligible liabilities instruments referred to in the first subparagraph and that adjusted amount shall be deducted by the subsidiary.5. Institutions and entities referred to in Article 1(1), points (b), (c) and (d), of Directive 2014/59/EU shall deduct from eligible liabilities items their holdings of own funds instruments and eligible liabilities instruments where all of the following conditions are met: (a) the own funds instruments and eligible liabilities instruments are held by an institution or entity that is not itself a resolution entity but that is a subsidiary of a resolution entity or of a third-country entity that would be a resolution entity if it were established in the Union; (b) the institution or entity referred to in point (a) is required to comply with the requirements laid down in Article 92b of this Regulation or in Article 45f of Directive 2014/59/EU; (c) the own funds instruments and eligible liabilities instruments held by the institution or entity referred to in point (a) were issued by an institution or entity referred to in Article 92b(1) of this Regulation or in Article 45f(1) of Directive 2014/59/EU that is not itself a resolution entity and that belongs to the same resolution group as the institution or entity referred to in point (a). By way of derogation from the first subparagraph, holdings of own funds instruments and eligible liabilities instruments shall not be deducted where the institution or entity referred to in point (a) of the first subparagraph is required to comply with the requirement referred to in point (b) of the first subparagraph on a consolidated basis and the institution or entity referred to in point (c) of the first subparagraph is included in the consolidation of the institution or entity referred to in point (a) of the first subparagraph in accordance with Part One, Title II, Chapter 2. For the purposes of this paragraph, the reference to eligible liabilities items shall be understood as a reference to any of the following: (a) eligible liabilities items taken into account for the purposes of complying with the requirement laid down in Article 92b; (b) liabilities that meet the conditions set out in Article 45f(2), point (a), of Directive 2014/59/EU. For the purposes of this paragraph, the reference to own funds instruments and eligible liabilities instruments shall be understood as a reference to any of the following: (a) own funds instruments and eligible liabilities instruments that meet the conditions set out in Article 92b(2) and (3); (b) own funds and liabilities that meet the conditions set out in Article 45f(2) of Directive 2014/59/EU.