Article 1 Methodology for Calculating Additional Valuation Adjustments (AVAs)

Institutions shall calculate the total additional valuation adjustments ('AVAs') necessary to adjust the fair values to the prudent value and shall calculate those AVAs quarterly according to the method provided in Chapter 3 of this Chapter 4 of the Trading Book (CRR) Part of the PRA Rulebook, unless they meet the conditions for applying the method provided in Chapter 2 of this Chapter 4 of the Trading Book (CRR) Part of the PRA Rulebook.

[Note: This rule corresponds to Article 1 of Part 2 of Regulation (EU) No 2016/101 as it applied immediately before revocation by the Treasury.]