- chief financial officer
means the person with overall responsibility for the financial resources management, financial planning and financial reporting of an institution;’
- climate neutrality
means the overall objective of achieving climate neutrality by 2050 as set out in Article 2(1) of Regulation (EU) 2021/1119 of the European Parliament and of the Council;
- crypto-asset
means a crypto-asset as defined in Article 3(1), point (5), of Regulation (EU) 2023/1114 of the European Parliament and of the Council that is not a central bank digital currency.
- division
means any of the following:
- eligible capital
means eligible capital as defined in Article 4(1), point (71), of Regulation (EU) No 575/2013;’
- head undertaking
means an undertaking which has its head office in a third country and which has established a third-country branch in the Member State, and the intermediate or ultimate parent undertakings of that undertaking, as applicable.
- heads of internal control functions
means the persons at the highest hierarchical level responsible for effectively managing the day-to-day operation of the internal control functions of an institution;
- internal approaches
means the internal ratings based approach referred to in Article 143(1), the internal model approach referred to in Article 221, the internal model method referred to in Article 283, the alternative internal model approach referred to in Article 325az, and the internal assessment approach referred to in Article 265(2), of Regulation (EU) No 575/2013’
- internal control functions
means risk management, compliance and internal audit functions;
- key function holders
means the persons who have significant influence over the direction of an institution but are not members of the management body, including the heads of internal control functions and the chief financial officer, where those heads or that officer are not members of the management body;
- large institution
means large institution as defined in Article 4(1), point (146), of Regulation (EU) No 575/2013;
- management body in its management function
means the management body acting in its role of directing an institution and includes the persons who effectively direct the business of the institution;’
- merger
means any of the following operations whereby:
- model risk
means model risk as defined in Article 4(1), point (52b), of Regulation (EU) No 575/2013;’
- periodic penalty payment
means a periodic pecuniary enforcement measure aimed at ending ongoing breaches of national provisions transposing this Directive, breaches of Regulation (EU) No 575/2013 or breaches of decisions taken by a competent authority on the basis of those provisions or that Regulation and compelling the natural or legal person to return to compliance with the infringed provisions or decisions;
- senior management
means those natural persons who exercise executive functions within an institution and are directly accountable to the management body but are not members of that body, and who are responsible for the day-to-day management of the institution under the direction of the management body;’
- stand-alone institution in the Union
means an institution that is not subject to prudential consolidation in the Union pursuant to Part One, Title II, Chapter 2, of Regulation (EU) No 575/2013, and that has no EU parent undertaking subject to such prudential consolidation;’
- third-country branch
means a branch established in a Member State by either: