Hong Kong Regulations

BANKING (CAPITAL) RULES - SECT 76

Calculation of risk-weighted amount of exposures in respect of repo-style transactions booked in trading book

An authorized institution shall calculate the risk-weighted amount of an
exposure in respect of a repo-style transaction booked in its trading book—

   (a)  by reference to Part 8 in any case where the transaction falls
within paragraph (a) or (b) of the definition of "repo-style transaction" in
section 2(1), or paragraph (d) of that definition where the collateral
provided by the institution is in the form of securities;

   (b)  by the application of section 75(3) or (4)(a) to the transaction as if
        the transaction were booked in the banking book in any case where the
        transaction falls within paragraph (c) of the definition of

"repo-style transaction" in section 2(1), or paragraph (d) of that definition
where the collateral provided by the institution is in the form of a sum of
money.