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CA-6.4.5

When a conventional bank licensee provides implicit support to a securitisation, it must, at a minimum, hold capital against all of the exposures associated with the securitisation transaction as if they had not been securitised. Additionally, conventional bank licensees would not be permitted to recognise in regulatory capital any gain-on-sale, as defined in Paragraph CA-6.4.3. Furthermore, the conventional bank licensee is required to disclose publicly that (a) it has provided non-contractual support and (b) the capital impact of doing so.

January 2015