Annex I of the ITS on reporting (Own funds templates) states that the figures to be reported in column 120 (Own funds) of the Group Solvency template should be equal or equivalent to the own funds reported in row 0010 of the template CA1. We conclude from that, that column 120 of the Group Solvency template should comprise all Tier 1 and Tier 2 capital of the entity the respective row refers to. From Annex I of the ITS on reporting (Own funds templates) we understand that column 130 of the Group Solvency template should reflect instruments (including related retained earnings, share premium accounts and other reserves) that are owned by persons other than the undertakings included in the CRR consolidation. From the same ITS and its reference to Article 87 (i)(b) of CRR we assume that column 140 relates to all own funds instruments of the subsidiary that are included in Common Equity Tier 1, Additional Tier1 and Tier 2 items and the related share premium accounts, the retained earnings and other reserves. We assume that the difference between the figures to be reported in column 120 and 140 of the Group Solvency template is that column 120 reflects all Tier 1 and Tier 2 capital of the entity the respective row refers to, whereas in column 140 only the part of Tier 1 and Tier 2 capital that is included in the consolidated own funds of the reporting entity, should be reported. Could EBA confirm that this assumption is correct?
The difference between the figures to be reported in column 120 and column 140 of the Group Solvency template is not clear.
Columns from 120 to 240 in C 06.00 collect detailed information on group solvency Own Funds calculated according to the local solvency rules where the entity or subgroup is operating.
In particular, column 120 requires reporting institution for collecting the Own Funds of the entities of the group. As clarified in the instructions, this amount shall be the same reported in row 010 of C 01.00 template, then it includes all positive and negative items of Own funds.
On the contrary, column 140 collects information about some of the positive items of Own funds at individual level. In fact, the related instruction is linked to article 87(1) lit (b) of Regulation (EU) No 575/2013 (CRR) where those items are explicitly mentioned as the denominator of the ratio. In particular, in column 140 are included items listed in Article 26 (1) lit. (a), (b), (c) and (e), 51 and 62 lit. (a) and (b).
With regard to column 130, the amount that shall be reported is the qualifying own funds, that is the amount defined according to Article 82 of the CRR. It includes all the Own Funds of the subsidiary owned by person other than the undertakings included in the consolidation pursuant Chapter 2 of Title II of Part One of the CRR.