Counterparty Risk Requirement definition

Counterparty Risk Requirement means the greater of:

Counterparty Risk Requirement means the amount calculated under Rule 19.7;

Counterparty Risk Requirement means a counterparty risk requirement calculated in accordance with paragraph 3 of the Third Schedule;

Examples of Counterparty Risk Requirement in a sentence

• CROSS-PRODUCT NETTING Introduction The FCA will consider granting rule waivers in order to permit firms to take account of cross-product netting in the calculation of their Counterparty Risk Requirement (CRR) in instances where the FCA regards it appro- priate.The current drafting of the FCA's Financial Rules for securities and futures firms allows 'similar ' types of transactions to be netted (where those transactions are covered by a valid netting agreement, with a sup- porting legal opinion).

• Total Risk Requirement means the sum of: (a) Operational Risk Requirement; (b) Counterparty Risk Requirement; (c) Large Exposure Risk Requirement; (d) Position Risk Requirement; (e) Underwriting Risk Requirement; and (f) Non-Standard Risk Requirement, however where an asset or liability is an Excluded Asset or Excluded Liability a risk requirement otherwise applicable under paragraphs (a) to (e) is not included.

• Retail ClientDefined in Rule BC-2.2.8. A retail client means a client who is not classified as an expert investor or an accredited investor under Rules BC-2.2.9 and BC-2.2.1 Risk-based Capital Requirement(s)Defined in Rule CA-1.2.8. The Risk-Based Capital Requirement is the sum of a firm‟s Expenditure Requirement, Position Risk Requirement (PRR), Counterparty Risk Requirement (CRR), and Foreign Exchange Risk Requirement (FER).

• Retail ClientDefined in Rule BC-2.2.8. A retail client means a client who is not classified as an expert investor or an accredited investor under Rules BC-2.2.9 and BC-2.2.1 Risk-based Capital Requirement(s)Defined in Rule CA-1.2.8. The Risk-Based Capital Requirement is the sum of a firm’s Expenditure Requirement, Position Risk Requirement (PRR), Counterparty Risk Requirement (CRR), and Foreign Exchange Risk Requirement (FER).

• A Participating Organisation’s Large Exposure Risk Requirement to a single Client or Counterparty is equal to the amount calculated to be the Counterparty Risk Requirement for the Client or Counterparty.

• A Participating Organisation must calculate its Counterparty Risk Requirement in the manner the Exchange determines.

• In the absence of acceptable evidence, the Exchange may amongst other things, require a Participating Organisation to increase the Participating Organisation’s Counterparty Risk Requirement by an amount not exceeding its exposure to loss.

• The Counterparty Risk Requirement for hedging positions shall, where applicable, be determined in the manner the Exchange stipulates.

• Subject to the Exchange’s direction, a Participating Organisation must, for that item or product, apply a Counterparty Risk Requirement of 100% of the Mark to Market value of the item or product net of any collateral held.

• See Section BC-2.2. Risk-based Capital Requirement(s)Defined in Rule CA-1.2.8. The Risk-Based Capital Requirement is the sum of a firm’s Expenditure Requirement, Position Risk Requirement (PRR), Counterparty Risk Requirement (CRR), and Foreign Exchange Risk Requirement (FER).

More Definitions of Counterparty Risk Requirement

Counterparty Risk Requirement means the risk requirement in relation to the unsettled obligations of third parties, as determined by the JSE;

Counterparty Risk Requirement means the greater of: zero; and the absolute sum of the counterparty risk amounts calculated in accordance with Annexure 1 to this Schedule 1A less any provision raised for doubtful debts. Note: The provision for doubtful debts must relate to a specific Counterparty receivable for which a counterparty risk amount has been calculated in accordance with Annexure 1 or to cover the possibility of a Counterparty or Client Balance becoming doubtful. A Market Participant must not deduct a provision amount from an individual counterparty risk amount.

Counterparty Risk Requirement means the sum of a Member‟s individual Counterparty Risk Requirement, calculated in accordance with Part 1 ofAppendix A8.1;