Article 2 Definitions
DRAFT Point added Article 1 Amendment to Regulation (EU) No 2017/2402 of the Proposal for a Regulation of the European Parliament and of the Council amending Regulation (EU) 2017/2402 of the European Parliament and of the Council of 12 December 2017 laying down a general framework for securitisation and creating a specific framework for simple, transparent and standardised securitisation (Text with EEA relevance) (COM(2025) 826 final / 2025/0826 (COD)) (updated 6 February 2026 with Draft report Ralf Seekatz - Amendments 52 - 303)
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For the purposes of this Regulation, the following definitions apply:
(1) "securitisation" means a transaction or scheme, whereby the credit risk associated with an exposure or a pool of exposures is tranched, having all of the following characteristics: (a) payments in the transaction or scheme are dependent upon the performance of the exposure or of the pool of exposures; (b) the subordination of tranches determines the distribution of losses during the ongoing life of the transaction or scheme; (c) the transaction or scheme does not create exposures which possess all of the characteristics listed in Article 147(8) of Regulation (EU) No 575/2013.