(1)

‘CCP’ means a CCP as defined in point (1) of Article 2 of Regulation (EU) No 648/2012;

(2)

‘resolution college’ means the college established pursuant to Article 4;

(3)

‘resolution authority’ means an authority designated by a Member State in accordance with Article 3;

(4)

‘resolution tool’ means a resolution tool as set out in Article 27(1);

(5)

‘resolution power’ means any of the powers laid down in Articles 48 to 58;

(6)

‘resolution objectives’ mean the resolution objectives laid down in Article 21;

(7)

‘competent authority’ means an authority designated by a Member State in accordance with Article 22 of Regulation (EU) No 648/2012;

(8)

‘default event’ means a scenario in which the CCP has declared in default:

(9)

‘non-default event’ means a scenario in which losses are incurred by a CCP for any reason other than a default event, including but not limited to, business, custody, investment, legal or operational failures or fraud, including failures resulting from cyber-attacks;

(10)

‘resolution plan’ means a resolution plan for a CCP drawn up in accordance with Article 12;

(11)

‘resolution action’ means a decision to place a CCP under resolution pursuant to Article 22, the application of a resolution tool, or the exercise of one or more resolution powers;

(12)

‘clearing member’ means a clearing member as defined in point 14 of Article 2 of Regulation (EU) No 648/2012;

(13)

‘parent undertaking’ means a parent undertaking as defined in point (15)(a) of Article 4(1) of Regulation (EU) No 575/2013;

(14)

‘third-country CCP’ means a CCP the head office of which is established in a third country;

(15)

‘set-off arrangement’ means an arrangement under which two or more claims or obligations owed between the CCP under resolution and a counterparty can be set off against each other;

(16)

‘financial market infrastructure’ or ‘FMI’ means a CCP, a central securities depository, a trade repository, a payment system or another system defined and designated by a Member State under point (a) of Article 2 of Directive 98/26/EC;

(17)

‘trading venue’ means a trading venue as defined in point 4 of Article 2 of Regulation (EU) No 648/2012;

(18)

‘client’ means a client as defined in point 15 of Article 2 of Regulation (EU) No 648/2012;

(19)

‘O-SIIs’ means other systemically important institutions as referred to in Article 131(3) of Directive 2013/36/EU;

(20)

‘indirect client’ means an undertaking which has established indirect clearing arrangements with a clearing member within the meaning of the second subparagraph of Article 4(3) of Regulation (EU) No 648/2012;

(21)

‘interoperable CCP’ means a CCP with which an interoperability arrangement has been established;

(22)

‘recovery plan’ means a recovery plan drawn up and maintained by a CCP in accordance with Article 9;

(23)

‘board’ means the administrative or supervisory board, or both, set up pursuant to national company law and in accordance with Article 27(2) of Regulation (EU) No 648/2012;

(24)

‘supervisory college’ means the college referred to in Article 18(1) of Regulation (EU) No 648/2012;

(25)

‘capital’ means capital as defined in point 25 of Article 2 of Regulation (EU) No 648/2012;

(26)

‘default waterfall’ means default waterfall in accordance with Article 45 of Regulation (EU) No 648/2012;

(27)

‘critical functions’ means activities, services or operations provided to third parties external to the CCP the discontinuance of which is likely to lead to the disruption of services that are essential to the real economy or to disrupt financial stability in one or more Member States due to the size, market share, external and internal interconnectedness, complexity or cross-border activities of a CCP, with particular regard to the substitutability of those activities, services or operations;

(28)

‘group’ means a group as defined in point 16 of Article 2 of Regulation (EU) No 648/2012;

(29)

‘linked FMI’ means an FMI with which the CCP has entered into contractual arrangements, including interoperability arrangements;

(30)

‘extraordinary public financial support’ means State aid within the meaning of Article 107(1) of the Treaty on the Functioning of the European Union (TFEU), or any other public financial support at supra-national level, which, if provided for at national level, would constitute State aid, that is provided in order to preserve or restore the viability, liquidity or solvency of a CCP;

(31)

‘financial contracts’ means contracts and agreements as defined in point 100 of Article 2(1) of Directive 2014/59/EU;

(32)

‘normal insolvency proceedings’ means collective insolvency proceedings which entail the partial or total divestment of a debtor and the appointment of a liquidator or an administrator normally applicable to CCPs under national law and either specific to those institutions or generally applicable to any natural or legal person;

(33)

‘instruments of ownership’ means shares, other instruments that confer ownership, instruments that are convertible into or give the right to acquire shares or other instruments of ownership, and instruments representing interests in shares or other instruments of ownership;

(34)

‘designated national macroprudential authority’ means the authority entrusted with the conduct of macroprudential policy referred to in Recommendation B1 of the Recommendation of the European Systemic Risk Board (ESRB) of 22 December 2011 on the macroprudential mandate of national authorities (ESRB/2011/3);

(35)

‘default fund’ means a default fund maintained by a CCP in accordance with Article 42 of Regulation (EU) No 648/2012;

(36)

‘pre-funded resources’ means resources which are held by and freely available to the relevant legal person;

(37)

‘senior management’ means the person or persons who effectively direct the business of the CCP, and the executive member or members of the board;

(38)

‘trade repository’ means a trade repository as defined in point 2 of Article 2 of Regulation (EU) No 648/2012 or in point 1 of Article 3 of Regulation (EU) 2015/2365 of the European Parliament and of the Council (19);

(39)

‘Union State aid framework’ means the framework established by Articles 107, 108 and 109 TFEU and regulations and all Union acts, including guidelines, communications and notices, made or adopted pursuant to Article 108(4) or Article 109 TFEU;

(40)

‘debt instruments’ means bonds or other forms of unsecured transferable debt, instruments creating or acknowledging a debt, and instruments giving rights to acquire debt instruments;

(41)

‘initial margin’ means margins collected by the CCP to cover potential future exposure to clearing members providing the margin and, where relevant, interoperable CCPs in the interval between the last margin collection and the liquidation of positions following a default of a clearing member or of an interoperable CCP;

(42)

‘variation margin’ means margins collected or paid out to reflect current exposures resulting from actual changes in market prices;

(43)

‘resolution cash call’ means a request for cash resources to be provided by clearing members to the CCP, additional to pre-funded resources, based on statutory powers available to a resolution authority in accordance with Article 31;

(44)

‘recovery cash call’ means a request for cash resources, other than a resolution cash call, to be provided by clearing members to the CCP, additional to pre-funded resources, based on contractual arrangements laid out in the operating rules of the CCP;

(45)

‘transfer powers’ means the powers specified in point (c) and (d) of Article 48(1) to transfer shares, other instruments of ownership, debt instruments, assets, rights, obligations or liabilities, or any combination of those items from a CCP under resolution to a recipient;

(46)

‘derivative’ means a derivative as defined in point 5 of Article 2 of Regulation (EU) No 648/2012;

(47)

‘netting arrangement’ means an arrangement under which a number of claims or obligations can be converted into a single net claim, including a close-out netting arrangement under which, on the occurrence of an enforcement event (however or wherever defined), the obligations of the parties are accelerated so as to become immediately due or are terminated, and in either case are converted into or replaced by a single net claim, including a close-out netting provision as defined in point (n)(i) of Article 2(1) of Directive 2002/47/EC of the European Parliament and of the Council (20) and netting as defined in point (k) of Article 2 of Directive 98/26/EC;

(48)

‘crisis prevention measure’ means the exercise of powers to require a CCP to take measures to remedy deficiencies in its recovery plan under Article 10(8) and (9), the exercise of powers to address or remove impediments to resolvability under Article 16, or the application of an early intervention measure under Article 18;

(49)

‘termination right’ means a right to terminate a contract, a right to accelerate, close out, set-off or net obligations or any similar provision that suspends, modifies or extinguishes an obligation of a party to the contract or a provision that prevents an obligation under the contract from arising that would otherwise arise;

(50)

‘title transfer financial collateral arrangement’ means a title transfer financial collateral arrangement as defined in point (b) of Article 2(1) of Directive 2002/47/EC;

(51)

‘covered bond’ means a covered bond as defined in point (1) of Article 3 of Directive (EU) 2019/2162 of the European Parliament and of the Council (21);

(52)

‘third-country resolution proceedings’ means an action under the law of a third country to manage the failure of a third-country CCP that is comparable, in terms of objectives and anticipated results, to resolution actions under this Regulation;

(53)

‘relevant national authorities’ means the resolution authorities, competent authorities or competent ministries designated in accordance with this Regulation or pursuant to Article 3 of Directive 2014/59/EU or other authorities in Member States with powers in relation to assets, rights, obligations or liabilities of third-country CCPs providing clearing services in their jurisdiction;

(54)

‘relevant third-country authority’ means a third-country authority responsible for carrying out functions comparable to those of resolution authorities or competent authorities pursuant to this Regulation.