Definition of "total liabilities"

When referring to ‘total liabilities’, Article 3(1)(11) of Commission Delegated Regulation (EU) 2015/63 refers to all the liabilities shown on the balance sheet of institutions and investment firms, including equity. If this was not the case, Article 10 of Commission Delegated Regulation (EU) 2015/63 would purposelessly require the exclusion of ‘own funds’ from institutions’ ‘total liabilities’ when assessing their size. This is confirmed as well by the language of Article 103(2) of Directive 2014/59/EU, which requires ex-ante contributions to be calculated pro rata to the amount of institutions’ liabilities (excluding own funds) less covered deposits, with respect to the aggregate liabilities (excluding own funds) less covered deposits of all the institutions authorised in the territory of the Member State. Disclaimer: The answers clarify provisions already contained in the applicable legislation. They do not extend in any way the rights and obligations deriving from such legislation nor do they introduce any additional requirements for the concerned operators and competent authorities. The answers are merely intended to assist natural or legal persons, including competent authorities and Union institutions and bodies in clarifying the application or implementation of the relevant legal provisions. Only the Court of Justice of the European Union is competent to authoritatively interpret Union law. The views expressed in the internal Commission Decision cannot prejudge the position that the European Commission might take before the Union and national courts.