There are several validation rules that do not appear to be appropriate:
We have been analysing the validation rules of asset encumbrance templates published on EBA’s website. There seem to be some inconsistencies.
Validation rule v2823_m aims to check that assets other than equity and debt instruments are equal in template F 32.01 (Asset Encumbrance) of Annex XVI to Regulation (EU) No 680/2014 (ITS on Supervisory Reporting) and in template F 01.01 (FINREP) of Annexes III and IV to the ITS on Supervisory Reporting.
The validation rule does not work because ‘Property, Plant and Equity’ and ‘Goodwill’ as reported in F 01.01 are not included in the formula (but they should be because they are neither debt nor equity instruments). The validation rule will be adapted accordingly.
The scope of validation rules v2864_m and v2865_m has been amended. They will not apply anymore to row 060 of template F 32.04 of Annex XVI to the ITS on Supervisory Reporting with effect of end of June 2017.
v3309_i verifies that the total assets reported in template F 36.01 of Annex XVI and template F 01.01 of Annexes III and IV to the ITS on Supervisory Reporting are equal. This validation rule holds in any case, considering the fact that the instructions on c180 of F 36.01 of Annex XVI (via the reference to row 010 of F 32.01) require the ‘Total assets of the reporting institution registered in its balance sheet’ to be reported.