Trading book

The trading book means all positions in financial instruments and commodities held by an institution either with trading intent, or in order to hedge positions held with trading intent (see Article 4 (1) 86 CRR);

These positions may not be subject to any restrictions in relation to the their marketability or must be hedgeable. Trading intent will be assumed if positions in the trading book are held for the purpose of being sold in the short term or if the intention exists, on the basis of currently existing, or expected price differences between the bid and offer prices in the near future or as a result of other price or interest rate fluctuations, to realise a profit.