Guidance Note: Validation and verification of the '3.4 OTC – FX & Gold' Sheet (Revised February 2019)

Summary

This is a technical guidance note from the JFSC explaining the automated validation and verification checks applied to the '3.4 OTC – FX & Gold' sheet of the JIBs (Jersey international banks) prudential reporting template. It sets out how Excel input restrictions and JFSC system checks operate on submission, and lists the exact cell-level rules and calculation formulas used for this sheet. The February 2019 revision only corrects a sheet name reference; it does not change the substance of the checks.

• Input validation: Monetary amount cells (Amount, Positive Mark-to-Market, Amount After CRM) must contain whole numbers within the range -1,000,000,000 to +1,000,000,000, reflecting values in units of £1,000.
• Blank fields: Certain Risk Weighted Amount cells (e.g. rows N.2.1, N.2.6, N.2.11) must be left blank, as they correspond to counterparty categories with no risk weighting applied.
• Calculated fields: Add-on Amount, Credit Equivalent Amount and Risk Weighted Amount cells are auto-calculated using fixed formulas (e.g. Add-on Amount = Amount x 1 percent, 5 percent or 7.5 percent depending on the row; Risk Weighted Amount = Amount After CRM x 20, 50, 100 or 150 percent depending on counterparty category).
• Submission process: Excel's own validation is not a failsafe; the JFSC re-runs all checks when the template is submitted and notifies the JIB of acceptance together with any warnings.

The note is purely explanatory and procedural: it helps JIBs understand and pre-check their data before submitting the FX and Gold sheet of their prudential return, reducing the risk of rejected or flagged submissions.

Key obligations

• JIBs must ensure monetary amount inputs on the '3.4 OTC - FX & Gold' sheet are whole numbers within the range -1,000,000,000 to +1,000,000,000 (in units of £1,000).
• JIBs must leave the specified Risk Weighted Amount cells blank for counterparty categories where no risk weighting applies.
• JIBs should check their own data for compliance with these validation rules before submission, since Excel's built-in checks are not a failsafe.

Applies to

Jersey international banks (JIBs)