PRU 4.13.4

(1) An Authorised Person must be able to satisfy the Regulator that it has systems in place to manage potential concentration of risk arising from its use of guarantees and Credit Derivatives.
(2) An Authorised Person must be able to demonstrate how its strategy in respect of its use of CRM techniques, and in particular use of Credit Derivatives and guarantees interacts with its management of its overall risk profile.