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Version date: 27 June 2019 - onwards
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Article 325bg Profit and loss attribution requirement

1. An institution's trading desk meets the P&L attribution requirements where that trading desk complies with the requirements set out in this Article.

2. The P&L attribution requirement shall ensure that the theoretical changes in the value of a trading desk's portfolio, based on the institution's risk-measurement model, are sufficiently close to the hypothetical changes in the value of the trading desk's portfolio, based on the institution's pricing model.

3. For each position of a given trading desk, an institution's compliance with the P&L attribution requirement shall lead to the identification of a precise list of risk factors that are deemed appropriate for verifying the institu­tion's compliance with the back-testing requirement set out in Article 325bf.

4. EBA shall develop draft regulatory technical standards to specify:

(a) the criteria necessary to ensure that the theoretical changes in the value of a trading desk's portfolio is sufficiently close to the hypoth