TEKE assets

TEKE is mainly funded by contributions paid by participating banks, thus avoiding to burden taxpayers with the cost of bank default or resolution. The available financial means of each Scheme of TEKE are clearly distinct from each other and are separate property groups, each being solely earmarked for its respective purpose.

  1. Deposit Cover Scheme assets (DCS) are used for the compensation of depositors and for financing resolution measures in credit institutions
  2. Investment Cover Scheme (ICS) assets are used for meeting the claims of investor clients of credit institutions participating in the ICS;
  3. Resolution Scheme (RS) assets are used for financing resolution measures in credit institutions.

The available financial means of TEKE can be held in the form of cash, deposits or low-risk and liquid assets and in payment commitments, on the condition that such method for paying contributions is provided for. In case of special liquidation or resolution of credit institutions, the cost for the protection of depositors and investor-clients and the financing of the resolution measures respectively, is borne by credit institutions.