Stress Test Data Framework Dictionary 2017: Version 02

Maximum_distributable_amount

This worksheet contains the data needed to verify that any applicable Maximum distributable amount (MDA) restrictions have been adhered to. The enumerations “Variable Compensation included in PAT”, “Discretionary AT1 Coco Coupons included in PAT”, “Other Discretionary Coupons included in PAT”, “Other Distributions included in PAT” and “Reconciliation to Accounting Profit” under dimension MDA are distribution items that should be added back to the PAT number in the “Profit or loss group only” worksheet of the Balance sheet projections template in order to get the pre distribution items, and a reconciliation line in case there is a difference in the basis of calculation between the “Profit or loss group only” and the “Maximum distributable amount” worksheet. The remaining enumerations under dimension “MDA” are for the calculation of the MDA (where appropriate), and the post-PAT distributions to verify that the MDA has been adhered to. Whilst there is not an expectation that all lines will necessarily have values (e.g. AT1 coco coupons included in PAT), they have been included for completeness. Firms should not complete the capital templates on the basis of breaching any MDA restrictions and then use strategic management actions to adhere to those restrictions. Under CRDIV and PS3/14,Rule 4.3 (5), profits have been defined to include interim and year end profits not included in CET1 capital that have been generated since the most recent decision on the distribution of profits. For the MDA calculation in the stress test the following assumptions should be made: 1) The calculation should be made at the accounting year end and using the whole year’s profits. 2) That there has been no decision to make a distribution in the year under evaluation. 3) The profits for each accounting year-end have been verified and therefore are available for inclusion in CET1 capital before calculation of the MDA triggers for that accounting year.

201702 CapitalAndOtherProjections

Order Field Name Enumeration Definition
1 Maximum distributable amount constituent Maximumdistributableamountconstituent A heading used in the reporting of maximum distributable amount data.
2 Scenario Scenario Identifies the scenario.
3 Projection period Projectionperiod The period to which the associated projections relate.
4 Balance Refers to drawn balance but typically used in combination with other terms. For example, balance up-to-date refers to the portion of an exposures' drawn balance that is not in arrears. It could also refer to the value of a balance sheet or P&L item. This can also be used in the context of a balance sheet item; this is used to capture the balance sheet position.