CSRD and Common Equity Tier 1: Difference between pages

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''Environmental, social and governance concerns (ESG) - European Union.''
''Banking.''


A proposed Corporate Sustainability Reporting Directive.
(CET1).


Common Equity Tier 1 capital.


== See also ==
* [[Corporate Sustainability Reporting Directive]]
* [[ESG]]
* [[Non-Financial Reporting Directive]]  (NFRD)
* [[Regulation]]
* [[Sustainability]]
* [[Sustainability reporting]]


The highest quality form of regulatory capital under Basel III and CRD IV.


==External link==
It includes common equity shares (ordinary shares) and share premium, together with most equity reserves, less regulatory deductions.
*[https://ec.europa.eu/info/publications/210421-sustainable-finance-communication_en#csrd Proposal for a Corporate Sustainability Reporting Directive - European Commission]
 
 
This capital has the greatest degree of subordination to all other claims on the bank's assets.
 
For this reason, it has the best loss-absorbing capacity and quality from the perspectives of the bank and its supervisors.
 
 
Sometimes known as Core Equity Tier 1.
 
 
==See also==
 
* [[Additional Tier 1]]
* [[Bank supervision]]
* [[Basel II]]
* [[Basel III]]
* [[Capital adequacy]]
* [[Capital Requirements Directive]]
* [[CET1 ratio]]
* [[Common equity]]
* [[Core Tier 1 capital]]
* [[CRD IV]]
* [[Equity]]
* [[Ordinary shares]]
* [[Own funds]]
* [[Subordination]]
* [[T2]]
* [[Tier 1]]
* [[Tier 2]]


[[Category:Accounting,_tax_and_regulation]]
[[Category:Accounting,_tax_and_regulation]]
[[Category:Long_term_funding]]
[[Category:Identify_and_assess_risks]]
[[Category:Manage_risks]]
[[Category:Risk_reporting]]
[[Category:Financial_products_and_markets]]

Revision as of 20:47, 29 January 2022

Banking.

(CET1).

Common Equity Tier 1 capital.


The highest quality form of regulatory capital under Basel III and CRD IV.

It includes common equity shares (ordinary shares) and share premium, together with most equity reserves, less regulatory deductions.


This capital has the greatest degree of subordination to all other claims on the bank's assets.

For this reason, it has the best loss-absorbing capacity and quality from the perspectives of the bank and its supervisors.


Sometimes known as Core Equity Tier 1.


See also