1.The capital requirement for market risk concentration shall be equal to the following:
\mathrm{SCR}_{\text{conc}} = \sqrt{\sum_{\mathrm{i}} \mathrm{Conc}_{\mathrm{i}}^{2}}
where:
the sum covers all single name exposures i;
Conci denotes the capital requirement for market risk concentration on a single name exposure i.
2.For each single name exposure i , the capital requirement for market risk concentration Conc i shall be equal to the loss in the basic own funds that would result from an instantaneous decrease in the value of the assets corresponding to the single name exposure i equal to the following:
\mathrm{XS}_{i} \cdot \mathrm{g}_{i}
where:
XSi is the excess exposure referred to in Article 184;
gi is the risk factor for market risk concentration referred to in Articles 186 and 187;