General criteria and methodologies used by the French supervisor in the review and evaluation referred to in Article 36 of Directive (EU) 2019/2034.
The following table gives an overview over the general criteria and methodologies used by the French supervisor in the review and evaluation referred to in Article 36 of Directive (EU) 2019/2034.
As defined in the CEBS guidelines on the Application of the Supervisory Review Process under Pillar 2, the Supervisory Review and Evaluation Process (SREP) is the comprehensive process which supervisors use to review and evaluate the investment firms' exposure to risks (i.e. risk profile), the adequacy and reliability of the investment firms' Internal Capital Adequacy Assessment Process (ICAAP), the adequacy of the investment firms' own funds and internal capital in relation to the assessment of its overall risk profile, to monitor ongoing compliance with standards laid down in the Directive (i.e. supervisory evaluation of compliance) and to identify any weaknesses or inadequacies and necessary prudential measures.
As defined in these guidelines, the ICAAP is a comprehensive process including the management body and senior management oversight, monitoring, reporting and internal control reviews, that investment firms must have to identify and measure their risks, allowing them to ensure that adequate provision is made for holding internal capital in relation to their risk profile.
For an overview regarding the general criteria and methodologies, the EU Member States use in the review and evaluation referred to in Article 36 of Directive (EU) 2019/2034 see the corresponding table on the EBA homepage.
Updated on: 10/31/2022 11:32