PRU 3.10.17

(1) The amount of holdings referred to in Rule 3.10.7(g) that is equal to or less than 10% of the CET1 items of the Authorised Person after applying the provisions laid down in Rule 3.10.16(1)(a) must not be deducted and must be subject to the applicable risk weights in accordance with Chapter 4.
(2) An Authorised Person must determine the portion of holdings of all the capital instruments that is risk weighted by dividing the amount specified in (a) by the amount specified in (b):
(a) the amount of holdings required to be risk weighted pursuant to Rule 3.10.17(1);
(b) the aggregate amount of direct and indirect holdings by the Authorised Person of all the capital instruments of Relevant Entities in which the Authorised Person does not have a significant investment.