This chapter includes rules that refer to provisions of the UK CRR in the form in which it stood at 1 January 2022. That version of the UK CRR can be found on legislation.gov.uk using this link.

MIFIDPRU 3.2 Composition of own funds and initial capital

MIFIDPRU 3.2.1R
MIFIDPRU 3.2.2R

1A firm must, at all times, have own funds that satisfy all the following conditions:

  1. (1)

    the firm’s common equity tier 1 capital must be equal to or greater than 56% of the firm’s own funds requirement under MIFIDPRU 4.3;

  2. (2)

    the sum of the firm’s common equity tier 1 capital and additional tier 1 capital must be equal to or greater than 75% of the firm’s own funds requirement under MIFIDPRU 4.3; and

  3. (3)

    the firm’s own funds must be equal to or greater than 100% of the firm’s own funds requirement under MIFIDPRU 4.3.

MIFIDPRU 3.2.3R

1A firm’s initial capital must be made up of own funds.

MIFIDPRU 3.2.4G

1For the purposes of this chapter, the categorisation and the valuation of assets and off-balance sheet items should be carried out in accordance with the applicable accounting framework, unless a rule directs otherwise.