Originator and Overall Liquidity Adequacy Rule: Difference between pages

From ACT Wiki
(Difference between pages)
Jump to navigationJump to search
imported>Doug Williamson
(Add 3rd definition.)
 
imported>Doug Williamson
(Create the page. Sources: linked pages.)
 
Line 1: Line 1:
1. ''Securitisation Regulation.''
''Bank supervision - liquidity risk.''


For the purposes of the Securitisation Regulation, the originator of an asset is either a party that was directly or indirectly involved in the original creation of the asset, or acquired the asset for its own account and then securitised it.
(OLAR).


The Overall Liquidity Adequacy Rule (OLAR) states that a regulated firm must at all times maintain liquidity resources which are adequate, both as to amount and quality, to ensure that there is no significant risk that its liabilities cannot be met as they fall due.


2.
The following are expressly excluded from the 'liquidity resources' assessed under the OLAR:


More generally, any party that arranges loans or other investments.
*Liquidity resources that can be made available by other members of its group.
 
*Liquidity resources that may be made available through emergency liquidity assistance from a central bank.
 
3.
 
Any party that initiates a transaction.




== See also ==
== See also ==
* [[Issuer]]
* [[Bank supervision]]
* [[Origination]]
* [[HQLA]]
* [[Securitisation]]
* [[ILAA]]
* [[Securitisation special purpose vehicle]]
* [[ILAAP]]
* [[Securitisation Regulation]]
* [[Liquidity]]
* [[Security]]
* [[Liquidity buffer]]
* [[Sponsor]]
* [[Liquidity Coverage Ratio]]
 
* [[Maturity mismatch]]
[[Category:Accounting,_tax_and_regulation]]
* [[Net stable funding ratio]]
[[Category:Long_term_funding]]
* [[Overall Liquidity Adequacy Rule]]
[[Category:Financial_products_and_markets]]
* [[SREP]]

Revision as of 15:50, 13 November 2016

Bank supervision - liquidity risk.

(OLAR).

The Overall Liquidity Adequacy Rule (OLAR) states that a regulated firm must at all times maintain liquidity resources which are adequate, both as to amount and quality, to ensure that there is no significant risk that its liabilities cannot be met as they fall due.

The following are expressly excluded from the 'liquidity resources' assessed under the OLAR:

  • Liquidity resources that can be made available by other members of its group.
  • Liquidity resources that may be made available through emergency liquidity assistance from a central bank.


See also