MIR 6.3.1

Information is needed to support the Regulator's risk-based approach to the supervision of all regulated entities. Risk-based supervision is intended to ensure that the allocation of supervisory resources and the supervisory process are compatible with the Regulatory objectives and the Regulator's general duties. The central element of the process of risk-based supervision is a systematic assessment by the Regulator (a risk assessment) of the main supervisory risks and concerns for each regulated entity.