2024/07/17

Regulatory treatment of RGLAs, PSEs and SNATs for the calculation of capital and LCR requirements by banks (EBA/CRR/LCR) and insurance companies (EIOPA/Solvency II)

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The regulatory treatment of regional governments and local authorities (RGLAs), public sector entities (PSEs) and supranationals (SNAT) by regulated investors, i.e., banks ALMs and insurance companies, is always a controversial topic, as different interpretations can coexist and when at times it is difficult to make a straightforward decision, which has negative implications in terms of pricing and investor knowledge.

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