# Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012 (Text with EEA relevance), Article 335: Cap on the own funds requirement for a net position

Extent: E+W+S+N.I.

The institution may cap the own funds requirement for specific risk of a net position in a debt instrument at the maximum possible default-risk related loss. For a short position, that limit may be calculated as a change in value due to the instrument or, where relevant, the underlying names immediately becoming default risk-free.

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Source: https://www.legislation.gov.uk/eur/2013/575/article/335 (the official version)
Page: https://openlegislation.uk/eu-regulation-2013-575/article-335
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.