EU capital revamp paves way for corporate CVA charge

Draft directive offers national regulators power to override controversial exemption

Risk 0517 Lead story, article 104, corporates
The rope is taut, the anvil is in position
Andy Watt, nbillustration.co.uk

The duelling adversaries in children’s cartoons never give up, and their attacks become ever-more creative. If the frying-pan ambush fails, then the dangling anvil will surely do the trick. Europe’s regulators are hoping this kind of approach will now bring them a final, decisive victory in their repeated attempts to wipe out a controversial capital exemption enjoyed by the region’s non-financial companies.

So far, corporates have been one step ahead. Because the Pillar 1 capital exemption for

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: