GN JIBs 5.3 Settlement Risk - Credit Risk Validation and Verification (December 2018)

Summary

This guidance note explains the automated validation and verification checks that run when a JIB (Jersey international bank) submits the 'Settlement Risk - Credit Risk' (Sheet 5.3) portion of its prudential reporting template to the JFSC. It sets out the data entry rules built into the Excel template, the error messages that appear when a check fails, and the formulas used for calculated fields, so that reporting entities can understand and resolve validation warnings before or after submission.

• Data entry limits: Monetary and trade-count fields only accept whole numbers between -1,000,000,000 and +1,000,000,000 (representing amounts in units of £1,000, i.e. up to +/- £1 trillion).
• Excel is not a failsafe: Built-in Excel validation only checks direct manual input, so JIBs must independently check their own data quality rather than rely solely on the spreadsheet.
• JFSC checks on submission: Submitting the template triggers JFSC-side checks; if all checks pass, the submission is accepted and the JIB is notified together with any warnings.
• Calculated fields: Certain cells (e.g. totals for Number of Trades and Mark-to-Market Receivable, and Risk-Weighted Assets calculated at 20 percent, 50 percent, 100 percent and 150 percent weightings) are auto-calculated by formula and are addressed separately from manual input checks.

The document is purely technical guidance to support accurate completion of one specific sheet of the JIBs prudential return; it does not itself impose new prudential or reporting policy requirements beyond ensuring data submitted is correctly formatted and validated.

Key obligations

• JIBs should check their own data for accuracy before or upon submission of the '5.3 Settlement Risk - Credit Risk' sheet, rather than relying solely on Excel's built-in validation.
• Monetary amount and trade count entries in the template must be whole numbers within the range -1,000,000,000 to +1,000,000,000 (in £1,000 units).

Applies to

JIBs (Jersey international banks)