Company: BCDRF
Filing Date: 2025-03-03
Form Type: 6-K
Source: 0000891478-25-000057
Chunk: 108

Company: Banco Santander, S.A.
Filing Date: 2025-03-03
Form: 6-K
Chunk 108
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 changes in market factors. This risk arises from changes in risk factors (interest rate, exchange rate, equities, credit spreads, commodity prices and the volatility of each of these) which may impact earnings or capital, and from the liquidity risk of the products and markets in which Santander operates.

The activities are segmented according to the purpose of the risk, as follows:

180 2024 Pillar 3 Disclosures Report

| Index |     | Introduction |     | Capital |     | Risks |     | Risk taker's remunerations |     | Appendices |

• Trading : the trading book includes all financial instruments that a bank holds for short-term resale in order to profit from short-term price movements, to make arbitrage profits or to hedge risks arising from the positions or instruments in this portfolio. This includes the provision of financial services in the markets to customers where the bank is the counterparty, as well as proprietary trading and positioning primarily in fixed income, equities, currencies and commodities. It should be noted that a corporate policy transposed by the different units delimits the Boundary between the Trading Book and the Banking Book. See chapter 'Risk, compliance & conduct management', of the Group Annual report, for further information about the different risks of this activity.

| Access 2024 Annual Report available on the Santander Group website |

• Structural risks : these are composed of the market risks inherent to the balance sheet, excluding the trading book. Namely: ◦ Structural interest rate risk: this risk arises from timing mismatches in maturities and repricing of all balance sheet assets and liabilities. ◦ Structural foreign exchange risk (hedging of results): foreign currency risk arising from the currency in which investments in consolidated and non-consolidated companies are made (structural exchange rate). This category also includes the positions taken to hedge the foreign currency risk on future results generated in currencies other than the euro (hedging of results). ◦ Structural equity risk : this includes equity investments in non-consolidated financial and non-financial companies, and the available-for-sale portfolios of equity positions. 7.2. Capital requirements for market risk This section provides more detailed information on changes in capital requirements for market risk through both internal and standardised models. The Group's consumption of regulatory capital for market risk at the end of December 2024 breaks down as follows.

| Table 74.Regulatory capital requirements for market risk    |     |       |     |       |
| EUR million                                                 |     |       |     |