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CM-4.4.13

Past version: Effective from 01 Apr 2011 to 31 Dec 2014
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The limits for connected counterparties have been set as follows:

(a) Exposures funded on and off balance sheet excluding Restricted Investment Accounts

Connected Counterparties Individual Limit Aggregate Limit
Shareholders with 'significant ownership' (i.e. 10% and above) 0% 0%
Directors 10% 25%
Associated Companies /Unconsolidated subsidiaries 15%
Total (including management and others)   25%
(b) Exposures funded by Restricted Investment Accounts (RIAs)

Individual Limit Aggregate Limit
A bank may not incur an exposure (whether funded or not funded) to an individual connected counterparty where the exposure is funded by restricted investment accounts which exceeds 15% of the reporting bank's (consolidated) capital base. The aggregate exposures to all connected counterparties within this category should not exceed 25% of the bank's consolidated capital base.
Total 25%
(c) Combined Exposures (Funded by On-balance Sheet and RIAs)

Connected Counterparties Individual Limit Aggregate Limit
The combined exposures (funded by on-balance sheet and RIAs ) A combined exposure of (CM-4.4.13a) & (CM-4.4.13b) above (funded by on-balance sheet and restricted investment accounts) whether funded or not funded, to an individual connected counterparty may not exceed 20% of the reporting bank's (consolidated) capital base. The aggregate exposures of: (CM-4.4.13a) & (CM-4.4.13b) above (whether funded from on balance sheet or restricted investment accounts) may not exceed 50% of the bank's (consolidated) capital base, whether funded or not funded.
Total   50%
Amended: April 2011
Amended: January 2011
Added: April 2008