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SSGAL Pillar 3 Disclosure Statement

The European Capital Requirements Directive (CAD) came into effect on 1 January 2007 and is implemented in the UK by the Financial Conduct Authority (FCA) through rules adopted by the regulator. It is a framework to implement the Basel Il Accord in the European Union, prepared by the Basel Committee on Banking Supervision. The objective of the Basel Committee was to introduce consistent capital adequacy standards and a supervisory framework The Basel Il Accord is built on three pillars:
Pillar 1: defines the rules and regulations for calculating risk-weighted assets and regulatory minimum capital requirements. These comprise: base capital resources requirements, credit risk and market risk capital requirements. and the fixed overhead requirement;
Pillar 2: addresses a firm's internal process for assessing overall capital adequacy in relation to its risks. This is also referred to as the Internal Capital Adequacy Assessment Process (ICAAP). Pillar 2 further entails the Supervisory Review and Evaluation Process (SREP); and
Pillar 3: complements Pillars I and 2 and is designed to promote market discipline by providing market participants With key information on a firm's risk exposure and risk management processes through a set of minimum disclosure requirements.
For the purpose Of this disclosure, the applicable prudential requirements are detailed in the FCA's General Prudential Sourcebook (GENPRU) and Prudential Sourcebook for Banks, Building Societies and Investment Firms (BIPRU) as at al December 2018. state street Global Advisors Limited (SSGAL) is classified as a BIPRU firm and falls outside the scope of CPD IV It is subject to the FCA's GENPRU and BIPRLJ requirements.