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dilution risk

as defined in Directive 2006/48/EC of the European Parliament and of the Council of 14 June…, Article 4, point (24)

the risk that an amount receivable is reduced through cash or non‐cash credits to the obligor;

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Also defined in

  • CRR 32013R0575, Article 4(1), point (53)
    the risk that an amount receivable is reduced through cash or non-cash credits to the obligor