CA-2.3.4
T2 instruments issued by a fully consolidated banking
(a) Total capital instruments of the subsidiary issued to third parties minus the amount of the surplus Total Capital of the subsidiary attributable to the third party investors;
(b) Surplus Total Capital of the subsidiary is calculated as the Total Capital of the subsidiary minus the lower of:
(i) The minimum Total Capital requirement of the subsidiary plus the capital conservation buffer; and
(ii) The portion of the consolidated minimum Total Capital requirement plus the capital conservation buffer that relates to the subsidiary ; and
(c) The amount of the surplus Total Capital that is attributable to the third party investors is calculated by multiplying the surplus Total Capital by the percentage of Total Capital that is held by third party investors.
January 2015