Does DNB prohibit investment firms from holding qualifying holdings outside the financial sector in excess of the limits as referred to in Article 10(1) of the IFR?
No, we do not prohibit investment firms from holding qualifying holdings outside the financial sector in excess of the percentages of own funds as referred to in Article 10(1) of the IFR on the basis of Article 10(2) of the IFR. We considered that Article 10(1) already requires the value of qualifying holdings in excess of the limits to be deducted from the Common Equity Tier 1 capital. However, we retain the power to prohibit qualifying holdings in excess of the limits in specific cases.
The European Banking Authority (EBA) recently published a Q&A on the calculation of K-COH, which also pertains to the calculation of K-DTF. Institutions must correctly report K-COH and K-DTF in accordance with these calculations.
Read more Calculating K-COH and K-DTF
In the third quarter of 2023, Dutch investment funds achieved relatively solid returns, despite falling global bond and equity prices, as revealed by new DNB figures.
Read more US dollar appreciation bolstered returns of Dutch investment funds in third quarter of 2023
Dutch non-bank financial service providers once again provided less financing such as loans in 2022. The decrease is mainly due to fewer investments and price losses in investment funds.
Read more Non-bank financing declines again
Dutch institutional investors such as pension funds, investment funds and insurers kept their investments in risky bonds roughly the same over the past 12 months. This is a break from previous years: since 2019, large investors had expanded their exposure to what are termed high-yield bonds.
Read more Dutch large investors do not expand investments in high-risk bonds
