• PRU 3.10.4 PRU 3.10.4

    For the purposes of Rule 3.10.2(c), an Authorised Person may include interim or year-end net profits in CET1 Capital before the Authorised Person has approved its annual audited accounts confirming its final profit or loss for the year, but only where:

    (a) those profits have been reviewed by the external Auditor of the Authorised Person, which is responsible for auditing its accounts; and
    (b) the Authorised Person is fully satisfied that any foreseeable charge or dividend has been deducted from the amount of those net profits.

    • Guidance

      The review of the interim or year-end profits of the Authorised Person referred to in Rule 3.13.4 should provide an adequate level of assurance that those profits have been evaluated in accordance with the principles set out in the International Financial Reporting Standards. The Regulator may request an Authorised Person to provide it with a copy of its external Auditor's opinion on whether the interim profits are reasonably stated.