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Recital 5

Recital 5

(5)Governance and operational aspects play a central role in the proper functioning of the alternative internal model. The methodology to verify whether an institution complies with the requirements laid down in Regulation (EU) No 575/2013 (‘assessment methodology’) should therefore comprehensively assess those governance and operational aspects, including the trading desk set-up, the role of the senior management and the management body, the risk-control unit, and the independent review of the alternative internal model itself.

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