11. Institutions should treat IRRBB as an important risk and always assess it explicitly and comprehensively in their risk management processes and internal capital assessment processes. A different approach should be fully documented and justified in the course of the supervisory dialogue.

12. Institutions should identify their IRRBB exposures and ensure that IRRBB is adequately measured, monitored and controlled.

13. Institutions should manage and mitigate risks arising from their IRRBB exposures that affect both their earnings and economic value.

14. When calculating the impact of interest rate movements in the earnings perspective, institutions should consider not only the effects on interest income and expenses, but also the effects of the market value changes of instruments - depending on accounting treatment - either shown in the profit and loss account or directly in equity (e.g. via other comprehensive income). Institutions should take into account the increase or reduction in earnings and capital over short- and medium-term horizons resulting from interest rate movements.

15. The change in earnings should be the difference between expected earnings under a base scenario and expected earnings under an alternative, more adverse shock or stress scenario from a going-concern perspective.