• 0% Limit on Exposures to Controllers

    • CM-4.4.12

      Banks must not undertake exposures to controllers as defined in Chapter GR-5 or to subsidiaries of such (i.e. there is a 0% limit for such exposures), however smaller shareholders will be subject to the normal exposure limits outlined in CM-4.4.5. Directors who are also controllers (or the appointed board representatives of such controllers) are subject to the 0% limit.

      Amended: January 2015
      Amended: January 2011
      Amended: April 2008
      October 2007

    • CM-4.4.13

      The limits for connected counterparties have been set as follows:

      Exposures funded on and off balance sheet (excluding RIAs) as a percentage of consolidated Total Capital

      Connected Counterparties Individual Limit Aggregate Limit
      Controllers and their subsidiaries 0% 0%
      Approved persons (and their close family members) and Shari'a Board Members 10% 25%
      Associates, other related parties not mentioned above and unconsolidated subsidiaries 15%
      Total (including senior management and others)   25%
      Amended: April 2015
      Amended: January 2015
      Amended: April 2011
      Amended: January 2011
      Added: April 2008

    • CM-4.4.13A

      Where limits mentioned under Paragraphs CM-4.4.5 and CM-4.4.13 have been exceeded whether with or without the prior approval of the CBB (see Paragraph CM-4.4.8A), the excess amount must be risk-weighted at 800%.

      Amended: January 2015
      Added: July 2013