BPCE - 2018 Risk report / Pillar III

5 CREDIT RISK

Detailed quantitative disclosures

TABLE 41 – IRB (SPECIALIZED LENDING AND EQUITIES) ➡ Non-tradingbooks with equity risk consistmainly of exchange-traded equities, non-exchange-tradedequities and mutual fund or hedge fund shares. For investments in funds, a special oversight process was implemented on the Banque Populaire work, the Caisse d’Epargne network and the subsidiaries (excluding Natixis, which has set a maximumlimit and policy applicableto its own scope of operations), which are subject to very limited investmentauthorizations:

a software tool for the oversight, supervision and managementof ● investments in funds, used by the entity Finance and Risk Managementdivisions(audit trail of opinionsof the various parties involved inthe investmentrequest process); management of total risk exposure and exposure to each asset ● managementcompany. A portfoliodiversificationreview is performed once a year.

31/12/2018

in millionsof euros

Specialized lending

On- balance- sheet amount

Off- balance- sheet amount

Risk weight

Expected loss

Total

RWAs

Regulatory category

Remaining maturity

Good profile Good profile Good profile

Equal toor morethan 2.5 years Equal toor morethan 2.5 years Equal toor morethan 2.5 years

1 8 6

- - - -

50 70 90

1 8 6

-

- - - -

6 6

TOTAL

15

15

12

Equities under the simple risk-weighted approach

On- balance- sheet amount

Off- balance- sheet amount

Risk weight

RWA amount

Category

Exchange-tradedequity exposures

2,658 4,023 5,849

190% 2,658 5,050 290% 4,023 11,667 370% 5,849 21,641

Private equity exposures Other equityexposures

TOTAL

12,530

12,530 38,357

12/31/2017

in millionsof euros

Specialized lending

On- balance- sheet amount

Off- balance- sheet amount

Risk weight

Expected loss

Regulatory category

Remaining maturity

Total

RWAs

Good profile Good profile Good profile

Equal toor more than 2.5 years Equal toor morethan 2.5 years Equal toor morethan 2.5 years

1 8 7

- - -

50% 1 70% 8 90% 7

-

- - -

6 6

TOTAL

16

16

12

Equities under the simple risk-weighted approach

On- balance- sheet amount

Off- balance- sheet amount

Risk weight

RWA amount

Category

Exchange-tradedequity exposures

3,239 4,197 6,062

190% 3,239 6,153 290% 4,197 12,172 370% 5,808 21,488

Private equity exposures Other equityexposures

TOTAL

13,498

13,243 39,813

130

Risk Report Pillar III 2018

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