Examples of systemic risk in a sentence
The Systemic Risk Buffer requirement shall apply to all institutions, or one or more subsets of those institutions, for which the authorities of the Member State concerned are competent in accordance with this Directive and shall be set in gradual or accelerated steps of adjustment of 0,5 percentage point.
Each Member State may introduce a Systemic Risk Buffer of Common Equity Tier 1 for the financial sector or one or more subsets of the sector, in order to prevent and mitigate long term non-cyclical systemic or macroprudential risks not covered by Regulation [inserted by OP], in the meaning of a risk of disruption in the financial system with the potential to have serious negative consequences to the financial system and the real economy in a specific Member State.
Where a group, on a consolidated basis, is subject to a Global Systemically Important Institution Buffer requirement, an Other Systemically Important Institution Buffer requirement, or a Systemic Risk Buffer requirement in accordance with Article 124d, the higher of the requirements shall apply.
For the purpose of paragraph 1, the Member State shall designate the authority in charge of setting the Systemic Risk Buffer and of identifying the sets of institutions to which it should apply.
Notwithstanding Article 124a(6), where the Systemic Risk buffer requirement only applies to all exposures located in the Member State that sets the buffer to address the macro- prudential risk of that Member State, that Systemic Risk buffer requirement shall be additive to the O-SII or G-SII buffer requirement that is applied in accordance with Article 124a.