BIPRU 11.3 Disclosures: Information to be disclosed; Frequency, media and location of disclosures; Verification

A firm must publicly disclose the information laid down in BIPRU 11.5 subject to the provisions laid down in BIPRU 11.3.5 R to BIPRU 11.3.7 R.

[Note: BCD Article 145(1), CAD Article 39]

1. (1)

   A firm which has an IRB permission must publicly disclose the information laid down in BIPRU 11.6.1 Rto BIPRU 11.6.4 R.

2. (2)

   A firm which recognises credit risk mitigation in accordance with BIPRU 5 must publicly disclose the information laid down in BIPRU 11.6.5 R.

3. (3)

   A firm using the advanced measurement approach for the calculation of its operational risk capital requirement1 must publicly disclose the information laid down in BIPRU 11.6.6 R.

   [Note: BCD Article 145(2), CAD Article 39]

1. (1)

   A firm must adopt a formal policy to comply with the disclosure requirements laid down in BIPRU 11.3.1 R and BIPRU 11.3.2 R and have policies for assessing the appropriateness of its disclosures, including their verification and frequency.2

2. (2)

   A firm must also have policies for assessing whether its disclosures convey its risk profile comprehensively to market participants. Where those disclosures do not convey its risk profile comprehensively to market participants, a firm must publicly disclose the information necessary in addition to that required according to BIPRU 11.3.3R (1). However, a firm may omit one or more items of information if those items are not, in the light of the criterion specified in BIPRU 11.4.1 R, regarded as material, or if those items are, in the light of the criteria specified in BIPRU 11.4.2 R and BIPRU 11.4.3 R, regarded as proprietary or confidential.2

[Note: BCD Article 145(3)]

A firm must, if requested, explain its rating decisions to SMEs and other corporate applicants for loans, providing an explanation in writing when asked. The administrative costs of the explanation have to be at an appropriate rate to the size of the loan.

[Note: BCD Article 145(4)]

A firm may omit one or more of the disclosures listed in BIPRU 11.5 if the information provided by such disclosures is not, in the light of the criterion specified in BIPRU 11.4.1 R, regarded as material.

[Note: BCD Article 146(1)]

A firm may omit one or more items of information included in the disclosures listed in BIPRU 11.5 and BIPRU 11.6 if those items include information which, in the light of the criteria specified in BIPRU 11.4.2 R and BIPRU 11.4.3 R, is regarded as proprietary or confidential.

[Note: BCD Article 146(2)]

In the exceptional cases referred to in BIPRU 11.3.6 R, a firm must:

1. (1)

   state in its disclosures:

   1. (a)

      the fact that the specific items of information are not disclosed; and

   2. (b)

      the reason for non-disclosure; and

2. (2)

   publish more general information about the subject matter of the disclosure requirement, except where these are to be classified as secret or confidential under the criteria set out in BIPRU 11.4.2 R and BIPRU 11.4.3 R.

   [Note: BCD Article 146(3)]

A firm must:

1. (1)

   publish the disclosures required under BIPRU 11.3.1 R to BIPRU 11.3.5 R on an annual basis at a minimum;

2. (2)

   publish disclosures as soon as practicable.

   [Note: BCD Article 147(1)]

A firm must also determine whether more frequent publication than is provided for in BIPRU 11.3.8 R is necessary in the light of the criteria set out in BIPRU 11.4.4 R.

[Note: BCD Article 147(2)]

1. (1)

   A firm may determine the appropriate medium, location and means of verification to comply effectively with the disclosure requirements laid down in BIPRU 11.3.1 R to BIPRU 11.3.4 R.

2. (2)

   To the degree feasible, a firm must provide all disclosures in one medium or location.

3. (3)

   Equivalent disclosures made by a firm under accounting, listing or other requirements may be deemed to constitute compliance with BIPRU 11.3.1 R to BIPRU 11.3.4 R.

4. (4)

   If disclosures are not included in the financial statements, a firm must indicate where they can be found.

   [Note: BCD Article 148]