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🔗 Back to Summary. 🇫🇷 French Version: 2023R0451_FR.6. Back to Summary of LVL1. Open the PDF. Direct link to EUR-LEX.
Article 5 – Assessment of the risk profile of a CCP ⬅️ | ➡️ Article 7 – Assessment of the risk profile of the CCP in relation to the business model
Article 6 - Assessment of the risk profile of the CCP in relation to the CCP preparedness
Competent authorities and supervisory colleges shall assess a CCP’s recovery plan’s adequacy in respect of the timeline, scenarios and indicators contained in the recovery plan. When performing that assessment, competent authorities and supervisory colleges shall consider all of the following factors:
(a)
whether the planned application and designed strategy of the recovery plan:
(i)
reflect the CCP’s risk profile arising from its business model and product mix, including considerations as to its market liquidity, market concentration, the role of direct clearing members and their clients, settlement methodologies, currencies and clearing hours, as well as trading venues served;
(ii)
take into account the CCP’s specific structure and organisational set-up, including considerations as to its default waterfall segregation and risk-pooling possibilities across services;
(iii)
take into account the CCP’s dependencies on relevant entities, including related group entities and third parties;
(b)
whether the framework of quantitative and qualitative indicators included in the recovery plan identifies the circumstances in which measures in the recovery plan are to be taken.