| (13) | Available sources of stress funding and related matters |
A bank—
| (a) | shall obtain the prior written approval of its board of directors or board approved committee in respect of any assumption made relating to the realisable value of assets under a forced sale scenario; |
| (b) | shall on request submit to the Registrar all relevant board approved assumptions and reasoning applied in respect of the realisable value of assets under a forced sale scenario; |
| (c) | shall ensure appropriate diversification in both the tenor and source of its funding; |
| (d) | shall, notwithstanding the relevant requirements specified in regulation 27 relating to minimum level one high-quality liquid assets, maintain a liquidity cushion, made up of unencumbered liquid assets, to protect the bank against liquidity stress events, including potential losses of unsecured and typically available secured funding sources; |
[Regulation 26(13)(d) substituted by regulation 10(g) of Notice No. R. 297, GG 40002, dated 20 May 2016]
| (e) | shall ensure that its policies, processes, systems and procedures relating to liquidity risk management are sufficiently robust to effectively manage the bank's— |
| (i) | ongoing liquidity needs, including any relevant intraday liquidity requirements; |
| (ii) | collateral positions. |
