(NAR) VOL. 19 NO. 1 / JANUARY - MARCH 2008
A bank's holdings of ROP Global Bonds that are paired with Warrants (paired Bonds), which give the bank the option or right to exchange its holdings of ROP Global Bonds into Peso-denominated government securities upon occurrence of a predetermined credit event., shall be risk weighted at zero percent (0%): Provided, That the zero percent (0%) risk weight shall be applied only to bank's holdings of paired Bonds equivalent to not more than fifty percent (50%) of the total qualifying capital, as defined under Circular No. 538 dated 4 August 2006.This Circular shall take effect fifteen (15) calendar days following its publication either in the Official Gazette or in a newspaper of general circulation.