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Clarifications of the Standards

C 52/2017 STA Effective from 1/4/2021

8.The leverage ratio framework is designed to capture leverage associated with both on- and off-balance-sheet exposures. It also aims to make use of accounting measures to the greatest extent possible, while at the same time addressing concerns that (i) different accounting frameworks across jurisdictions raise level playing field issues and (ii) a framework based exclusively on accounting measures may not capture all risks.