Related provisions for BIPRU 12.5.48
1 - 11 of 11 items.
In relation to derivatives positions, a firm should:(1) assess the effect on its cash flows arising from the maturity, exercise and repricing of derivatives in which it holds a position, including the impact of counterparties:(a) who may require the posting of additional margin or collateral in the event of a decline in that firm's credit rating;(b) who may require the posting of additional margin or collateral (or the return to them of margin or collateral) in the event of a
In relation to its contingent liabilities, a firm should:(1) calculate the impact on its cash flows of those of its contingent obligations that will be triggered in normal financial conditions; and(2) estimate the impact on its cash flows of those of its contingent obligations that may be triggered under the liquidity stresses required by BIPRU 12.5.6 R.
For the purpose of BIPRU 12.5.48G, a firm should:(1) consider its contractual exposure to the following types of commitment: committed funding facilities, undrawn loans and advances to wholesale counterparties, mortgages that have been agreed but not yet been drawn down, credit cards, overdrafts (and other retail lending facilities);(2) ensure that its analysis of each type of commitment is sufficiently granular to enable that firm to:(a) assess the circumstances in which counterparties
In relation to liquidity facilities to support securitisation programmes, a firm should:(1) assess the extent of its contractual obligations to provide liquidity support to sponsored and third-party structured vehicles;(2) identify the circumstances in which support will, or is likely to, be called; and(3) assess the impact on that firm's cash flows of such support being called:(a) in normal financial conditions; and(b) under the liquidity stresses required by BIPRU 12.5.6R.
In order to ensure compliance with the overall liquidity adequacy rule and with BIPRU 12.3.4R and BIPRU 12.4.-1 R, a firm must:(1) conduct on a regular basis appropriate stress tests so as to:(a) identify sources of potential liquidity strain;(b) ensure that current liquidity exposures continue to conform to the liquidity risk tolerance established by that firm'sgoverning body; and(c) identify the effects on that firm's assumptions about pricing; and(2) analyse the separate and
In order to ensure compliance with MIPRU 4.2D.2 R, a firm must:(1) conduct on a regular basis appropriate stress tests so as to:(a) identify sources of potential liquidity strain; and(b) ensure that the risks of current liquidity exposures can be adequately managed; and(2) analyse the separate and combined impact of possible future liquidity stresses on its:(a) cash flows;(b) liquidity position; and(c) solvency; and(3) make, as soon as is practicable after a test has been performed,