1. An Authorised Person should calculate its NSFR with appropriate frequency to ensure that it is able to monitor its satisfaction of the requirement in Rule 10.4.1 at all times and, additionally, where it believes that a change has happened to its Available Stable Funding or Required Stable Funding that might result in a material change to the level of its NSFR. 
2. For Available Stable Funding, i.e. on the funding side, the ASF factors have been calibrated to reflect the tenor of the funding with longer-term liabilities assumed to be more stable than short-term liabilities, and also the nature of the counterparty providing the funding.
3. For Required Stable Funding, i.e. covering assets and off-balance sheet items, the RSF factors again reflect the tenor of the assets. The calibration of the factors assumes that short-dated assets should attract lower RSF factors as a proportion of them could be allowed to run to maturity instead of requiring further funding in the event of their being rolled over, which may also be influenced by the desire to maintain customer relationships. Similarly, unencumbered, high-quality assets may be more easily securitised or traded to provide additional funding and this is recognised in lower RSF factors.