A central counterparty must—
| (a) | maintain a sufficiently diversified portfolio of liquid resources and avoid undue concentration with respect to any relevant asset type, issue and issuer type, and currency, consistent with the distribution of cash outflows by currency; |
| (b) | closely monitor and control the concentration of its liquidity risk exposure, including its exposures to single counterparties and to entities in the same group; |
| (c) | in its liquidity risk management framework include the application of exposure and concentration limits; and |
| (d) | define processes and procedures for breaches of concentration limits. |
