Version status: Amended | Document consolidation status: Updated to reflect all known changes
Version date: 1 January 2019 - onwards
  Version 5 of 5    

Article 142 Definitions

1. For the purposes of this Chapter, the following definitions shall apply:

(1) "rating system" means all of the methods, processes, controls, data collection and IT systems that support the assessment of credit risk, the assignment of exposures to rating grades or pools, and the quantification of default and loss estimates that have been developed for a certain type of exposures;

(2) "type of exposures" means a group of homogeneously managed exposures which are formed by a certain type of facilities and which may be limited to a single entity or a single sub-set of entities within a group provided that the same type of exposures is managed differently in other entities of the group;

(3) "business unit" means any separate organisational or legal entities, business lines, geographical locations;

(4) "large financial sector entity" means any financial sector entity which meets the following conditions: (a) its total assets, calculated on an individual or consolidated basis, are greate