By contrast, the supervisor could mainly use the instrument of guidance when processing insights from hypothetical scenarios. To this end, we would need, among other things, to transfer to the calculation of the supervisory guidance on capital those scenarios that we, in the last year SREP exercise, took into account in the binding capital surcharge.
This adjustment to the SREP concept would not change the total capital level; it would just be divided differently between requirements and guidance. If a bank observed the binding capital requirements, but not the guidance, this should not automatically lead to a formal supervisory measure. But that is enough about potential changes to the concept – as I said, the work is still ongoing.