business as usualshall mean ‘a situation without any liquidity stress assumption.
Date of accountingmeans the date when a loss or reserve/provision was first recognised in the Profit and Loss statement, against an operational risk loss.
Gross lossmeans a loss - as referred to in Article 322(3), point (b), of Regulation (EU) No 575/2013 - stemming from an operational risk event or loss event type before recoveries of any kind, without prejudice to “rapidly recovered loss events” as defined below.
On an immediate risk basisshall mean that, for the purposes of determining whether a claim is a cross-border or local claim, the position is allocated to the direct counterparty of the contract.’
On an ultimate risk basisshall mean that, for the purposes of determining whether a claim is a cross-border or local claim, the position is allocated to a third party that has contracted to assume the debts or obligations of the primary counterparty if that party fails to perform, where such a third party exists.
previous reporting reference periodsshall mean all reporting reference periods until and including the one ending at the preceding calendar year end.
Rapidly recovered loss eventsmeans operational risk events that lead to losses that are partly or fully recovered within five working days.
Recoverymeans an independent occurrence related to the original operational risk loss that is separate in time, in which funds or inflows of economic benefits are received from first or third parties, such as insurers or other parties.
relevant indicatorrefers to “the sum of the elements” at the end of the financial year as referred to in Article 316, Table 1, point 1 of Regulation (EU) No 575/2013.
residence of the obligorrefers to the country of incorporation of the obligor.
time passed since exposures classified as non-performingshall mean the time in years passed since exposure has been classified as non-performing.
upside uncertaintyshall mean the following: As determined by Article 8(2) of Delegated Regulation (EU) 2016/101, AVAs are calculated as the difference between the fair value and a prudent valuation that is determined on the basis of a 90 % confidence that institutions can exit the exposure at that point or better within the notional range of plausible values.