Recital 17

(17)Dealing on own account and providing underwriting or placement services presents the same risk when performed by entities of an investment firm group included in the consolidation, regardless of whether those entities are investment firms or financial institutions. For that reason, when calculating the consolidated K-factor ‘net position risk’ (K-NPR), Union parent undertakings should take all such activities and services into account, having also regard to Article 325b of Regulation (EU) No 575/2013 of the European Parliament and of the Council ⁷ , in accordance with which the use of positions in one entity of the group to offset positions in another entity of that group is only allowed where the Union parent undertaking has obtained the permission of the relevant competent authority.