Version in force , Modified +49 −46§
Amended by Regulation (EU) 2024/1623 32024R1623 on EUR-Lex (external, EUR-Lex) · Regulation (EU) 2024/2987 32024R2987 on EUR-Lex (external, EUR-Lex) · Regulation (EU) 2024/2795 32024R2795 on EUR-Lex (external, EUR-Lex)
Explanation, written by a model and checked against the cited text
Paragraph 1 now pairs cash with regular-way purchases and financial assets with regular-way sales, whereas the earlier text paired cash with regular-way sales and securities with regular-way purchases.
The cross-reference to Article 429(4), point (a) is also reformatted, moving the point letter after the article number rather than before it, with no other change to that reference.
Cited: Art. 429g, v1 (external, EUR-Lex) · Art. 429g, v2 (external, EUR-Lex)
v1 is the previous version, v2 this one.
Text from EUR-Lex, before and after
Previous version, in force 9 July 2024 02013R0575-20240709 → this version, in force 1 January 2025 02013R0575-20250101
Article 429g
Calculation of the exposure value of regular-way purchases and sales awaiting settlement
1. Institutions shall treat cash related to regular-way sales purchases and securities financial assets related to regular-way purchases sales which remain on the balance sheet until the settlement date as assets in accordance with Article 429(4), point (a) of Article 429(4). (a).
2. Institutions that, in accordance with the applicable accounting framework, apply trade date accounting to regular-way purchases and sales which are awaiting settlement shall reverse out any offsetting between cash receivables for regular-way sales awaiting settlement and cash payables for regular-way purchase awaiting settlement allowed under that framework. After institutions have reversed out the accounting offsetting, they may offset between those cash receivables and cash payables where both the related regular-way sales and purchases are settled on a delivery-versus-payment basis.
3. Institutions that, in accordance with the applicable accounting framework, apply settlement date accounting to regular-way purchases and sales which are awaiting settlement shall include in the total exposure measure the full nominal value of commitments to pay related to regular-way purchases.
Institutions may offset the full nominal value of the commitments to pay related to regular-way purchases by the full nominal value of cash receivables related to regular-way sales awaiting settlement only where both of the following conditions are met:
(a) both the regular-way purchases and sales are settled on a delivery-versus-payment basis;
(b) the financial assets bought and sold that are associated with cash payables and receivables are fair valued through profit and loss and included in the institution's trading book.