Article 5 CRR — Definitions specific to capital requirements for credit risk

Article 5 — Definitions specific to capital requirements for credit risk

CRR

REGULATION (EU) No 575/2013 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012 (Text with EEA relevance) · European Union

For the purposes of Part Three, Title II, the following definitions shall apply: (1) ‧exposure‧ means an asset or off-balance sheet item; (2) ‧loss‧ means economic loss, including material discount effects, and material direct and indirect costs associated with collecting on the instrument; (3) ‧expected loss‧ or ‧EL‧ means the ratio of the amount expected to be lost on an exposure from a potential default of a counterparty or dilution over a one year period to the amount outstanding at default.

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DIRECTIVE 2014/59/EU OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of… (EU) · REGULATION (EU) 2024/1623 OF THE EUROPEAN PARLIAMENT AND OF THE… (EU) — sign in to see which provisions, and what they say.

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Source: EUR-Lex CELLAR · retrieved 2026-09-04