CHAPTER 2

CONDITIONS REGARDING THE FUNCTIONING OF COLLEGES FORMED IN ACCORDANCE WITH ARTICLE 116 OF DIRECTIVE 2013/36/EU
SECTION 2

Planning and coordination of supervisory activities in going concern situations

Information exchange for performing group risk assessments and reaching joint decisions
Article 10
1
For the purposes of joint decisions on institution-specific prudential requirements as referred to in Article 113 of Directive 2013/36/EU, the consolidating supervisor and the relevant members of the college referred to in paragraph 1 of that Article shall exchange all information necessary, at both individual and consolidated level, to reach a joint decision.
2
In particular, the consolidating supervisor and the relevant members of the college referred to in paragraph 1 shall exchange information on the outcomes of the supervisory review and evaluation process performed in accordance to Article 97 of Directive 2013/36/EU. This information shall provide the outcome of the assessment, at least, of the following elements:
a
business model analysis, including the assessment of the viability of current business model and sustainability of institution's forward-looking business strategy;
b
internal governance arrangements and institution-wide controls;
c
individual risks to institution's capital, covering the following elements:
1. inherent individual risks;
2. risk management and controls;
d
capital adequacy assessment, including proposed required own funds pursuant to Article 104(1)(a) of Directive 2013/36/EU;
e
risks to institution's liquidity and funding, covering the following elements:
1. liquidity risk and funding risk;
2. liquidity and funding risk management;
f
liquidity adequacy assessment, including proposed quantitative and qualitative liquidity measures pursuant to Article 105 of Directive 2013/36/EU;
g
other supervisory measures or early intervention measures taken or planned to be taken in order to address the inefficiencies identified as a result of the supervisory review and evaluation process;
h
results of the supervisory stress tests performed pursuant to Article 100 of Directive 2013/36/EU;
i
findings from on-site inspections and off-site monitoring that are relevant for the assessment of the risk profile of the group or any of its entities.