Fire sale and MREL: Difference between pages

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imported>Doug Williamson
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imported>Doug Williamson
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1.
''Bank [[resolution]] and [[recovery]].''


A sale of assets at unusually low prices, resulting from the seller being in desperate need of the sale proceeds, for example when facing insolvency.
Minimum Requirement for own funds and Eligible Liabilities.


Also known as a 'forced sale'.
The term used in [[EU]] legislation (2014/59/EU[http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32014L0059] for loss absorbing capital ([[LAC]]) of certain financial institutions. 


MREL was originally due to be applied to EU banks and investment firms from 2016, with a review by the [[EBA]] by the end of 2016, and with a transitional period of up to 4 years.


2.


Originally, a sale of goods when the goods or retail premises had been damaged by fire.
==See also==


*[[Capital adequacy]]
*[[Eligible liabilities]]


== See also ==
*[[Loss absorbing capacity]]
* [[Insolvency]]
*[[Own funds]]
* [[Market value]]
*[[Total Loss Absorbing Capacity]]
 
*[[PLAC]]
 
*[[SLAC]]
 
*[[Gone concern]]
 
*[[Bailin]]
 
[[Category:Compliance_and_audit]]
[[Category:Risk_frameworks]]

Revision as of 13:41, 10 November 2016

Bank resolution and recovery.

Minimum Requirement for own funds and Eligible Liabilities.

The term used in EU legislation (2014/59/EU[1] for loss absorbing capital (LAC) of certain financial institutions.

MREL was originally due to be applied to EU banks and investment firms from 2016, with a review by the EBA by the end of 2016, and with a transitional period of up to 4 years.


See also