CHAPTER II JOINT DECISION PROCESS

Article 6 Preparation of the draft group risk assessment report and draft group liquidity risk assessment report
1. The consolidating supervisor shall prepare a draft group risk assessment report and draft group liquidity risk assessment report based on all of the following:
(a) its own SREP report or liquidity risk assessment report on the EU parent institution and the group;
(b) the SREP reports or liquidity risk assessment reports on subsidiaries provided by the relevant competent authorities pursuant to Article 5;
(c) contributions from other competent authorities and competent authorities of third countries, pursuant to Article 4(2).
2. The SREP reports and liquidity risk assessment reports referred to in points (a) and (b) of paragraph 1 together with contributions referred to in point (c) of that paragraph shall be added as annexes to the draft group risk assessment report or draft group liquidity risk assessment report.
3. The draft group risk assessment report and draft group liquidity risk assessment report shall contain the results of the assessment of whether the arrangements, strategies, processes and mechanisms implemented by the group and its institutions and the own funds and liquidity held by these ensure a sound management and coverage of their risks.
4. The draft group risk assessment report shall be prepared using the template in Annex III. This report shall be supplemented with the summaries of scores using Table 1 of Annex IV and the summary of capital adequacy assessment using Table 2 of Annex IV.
The draft group liquidity risk assessment report shall be prepared using the template in Annex VII. This report shall be supplemented with the summaries of scores using Table 1 of Annex VIII and the summary of liquidity assessment using Table 2 of Annex VIII.
5. In accordance with the principle of proportionality, the consolidating supervisor shall ensure all of the following:
(a) the joint assessment reflects the relevance of the institutions within the group and their significance in the local market;
(b) the draft group risk assessment report and draft group liquidity risk assessment report indicate how this relevance and significance were taken into account.
6. The consolidating supervisor shall provide the draft reports to the relevant competent authorities in a timely manner and in any event by the deadline specified in the joint decision timetable pursuant to point (c) of Article 3(2).
7. Subject to the agreement referred to in Article 4(3), the consolidating supervisor may provide the draft group risk assessment report and draft group liquidity risk assessment report to the other competent authorities and competent authorities of third countries.