AI Summary of Article 451 Disclosure of the leverage ratio
Institutions governed by Part Seven must provide comprehensive disclosures relating to their leverage ratio, as per Article 429. This includes detailing the leverage ratio itself, the application of Article 499(2), and offering a thorough breakdown of the total exposure measure alongside reconciliations with published financial statements.
Furthermore, institutions need to outline their procedures for managing excessive leverage risk, the influences affecting the leverage ratio during the reporting period, and any additional own funds requirements resulting from supervisory assessments in accordance with Directive 2013/36/EU. Public development credit institutions are specifically instructed to disclose their leverage ratio without certain adjustments.
Article 451 Disclosure of the leverage ratio
1. Institutions that are subject to Part Seven shall disclose the following information regarding their leverage ratio as calculated in accordance with Article 429 and their management of the risk of excessive leverage:
(a) the leverage ratio and how the institutions apply Article 499(2);
(b) a breakdown of the total exposure measure referred to in Article 429(4), as well as a reconciliation of the total exposure measure with the relevant information disclosed in published financial statements;
(c) where applicable, the amount of exposures calculated in accordance with Articles 429(8) and 429a(1) and the adjusted leverage ratio calculated in accordance with Article 429a(7);
(d) a description of the processes used to manage the risk of excessive leverage;
(e) a description of the factors that had an impact on the leverage ratio during the period to which the disclosed leverage ratio refers;