Other comprehensive income and Overall Liquidity Adequacy Rule: Difference between pages

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''Financial reporting''.
''Bank supervision - liquidity risk.''


(OCI).
(OLAR).


Comprehensive income includes all gains and losses that affect shareholders' equity.
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.


Comprehensive income includes both:


#Items reported in the statement of profit or loss (income statement), and
The following are expressly excluded from the 'liquidity resources' assessed under the OLAR:
#Items reported separately in the statement of other comprehensive income.


 
*Liquidity resources that can be made available by other members of its group.
Other comprehensive income refers to items reported separately in the statement of other comprehensive income (2), that are NOT in the statement of profit or loss (1).
*Liquidity resources that may be made available through emergency liquidity assistance from a central bank.
 
Examples of items reported in Other comprehensive income include:
 
*Remeasurement gains or losses on defined benefit pension plans (under IAS 19) and
*Revaluation of land and buildings accounted for under IAS 16.




== See also ==
== See also ==
* [[Earnings per share]]
* [[Bank supervision]]
* [[Equity]]
* [[HQLA]]
* [[IAS 16]]
* [[ILAA]]
* [[IAS 19]]
* [[ILAAP]]
* [[Remeasurement]]
* [[Liquidity]]
* [[Revaluation]]
* [[Liquidity buffer]]
* [[Statement of comprehensive income]]
* [[Liquidity Coverage Ratio]]
* [[Statement of profit or loss]]
* [[Maturity mismatch]]
* [[Statement of profit or loss and other comprehensive income]]
* [[Net stable funding ratio]]
 
* [[Overall Liquidity Adequacy Rule]]
[[Category:Accounting,_tax_and_regulation]]
* [[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