3.

Competent authorities shall apply the requirements laid down in point (a) or (b) to qualifying holdings of institutions referred to in paragraphs 1 and 2: for the purpose of calculating the capital requirement in accordance with Part Three, institutions shall apply a risk weight of 1250 % to the greater of the following: the amount of qualifying holdings referred to in paragraph 1 in excess of 15 % of eligible capital; the total amount of qualifying holdings referred to in paragraph 2 that exceed 60 % of the eligible capital of the institution; the competent authorities shall prohibit institutions from having qualifying holdings referred to in paragraphs 1 and 2 the amount of which exceeds the percentages of eligible capital laid down in those paragraphs. Competent authorities shall publish their choice of (a) or (b).

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Source: EUR-Lex (Cellar) · retrieved 2026-09-25 · Text as adopted (Official Journal); later amendments are not incorporated in this text.