Own funds requirements for pre-funded contributions to the default fund of a non-qualifying CCP and for unfunded contributions to a non-qualifying CCP
Article 309
1. An institution shall apply the following formula to calculate the own funds requirement (K i ) for the exposures arising from its pre-funded contributions to the default fund of a non-qualifying CCP (DF i ) and from unfunded contributions (UC i ) to such CCP: where c 2 ·and μ are defined as in Article 308(3). 2. For the purpose of paragraph 1, unfunded contributions means contributions that an institution acting as a clearing member has contractually committed to provide to a CCP after the CCP has depleted its default fund to cover the losses it incurred following the default of one or more of its clearing members. 3. An institution shall calculate the risk weighted exposure amounts for exposures arising from an institution's pre-funded contribution for the purposes of Article 92(3) as the own funds requirement (K i ) determined in accordance with paragraph 1 multiplied by 12,5.