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Article 1 - Definitions

Article 1
Definitions

For the purposes of this Regulation, the following definitions shall apply:

((a))

‘synthetic form of retention’ means the retention of a material net economic interest through the use of derivative instruments;

((b))

‘contingent form of retention’ means the retention of a material net economic interest through the use of credit support that ensures an immediate enforcement of the retention, including by guarantees, letters of credit, or similar forms of credit support.

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