CRR and LCR Assessment

What is a CRR Assessment?

One benefit of a securitisation being STS is to allow a bank investing in such a securitisation to allocate a lower amount of capital against that position than would otherwise be required by the EU Capital Requirement Regulation or , in the UK, it’s onshored version ("CRR").

However, according to the CRR, for the lower capital requirement to apply a securitisation must not only be STS but also meet an additional 4 criteria.

In addition to an STS verification, PCS will, if requested, provide a CRR assessment in which it will address these additional 4 criteria.

We strongly advise all visitors to this site to read our Disclaimer below for a better understanding of the nature of all PCS services.

What is an LCR Assessment?

Another benefit of a securitisation being STS is to allow a bank holding it to count it towards its liquidity coverage ratio (“LCR").

To benefit from favourable LCR treatment a securitisation must not only be STS but also meet an additional 8 criteria.

In addition to an STS verification, PCS will, if requested, provide an LCR assessment in which it will address these additional 8 criteria.

We strongly advise all visitors to this site to read our “Disclaimer below for a better understanding of the nature of all PCS services.

How to Engage PCS for a CRR or LCR Assessment?

In order to meet regulatory requirements, it is not possible for an originator or sponsor to engage PCS only for a CRR or an LCR assessment without engaging PCS for an STS verification of the same transaction. Therefore, to engage PCS for a CRR or an LCR Assessment, an applicant should tick the CRR Assessement or LCR Assessment box when filling in our online application form.

FEES
EU
UK
UPFRONT
Fee Amount
DEFERRED
Fee Amount
UPFRONT
Fee Amount
DEFERRED
Fee Amount
CRR and LCR Assessments
€ 1,500
none
£1,500
none

Associated Documents

EU Checklists

UK Checklists

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