The Basel Framework applies to internationally active banks on a consolidated basis, capturing the parent holding company of a banking group and every internationally active bank at each tier of the group, fully consolidated; stand-alone application is an alternative only where the full book value of investments in subsidiaries and significant minority stakes is deducted from capital (SCO10.1 to 10.3), and supervisors also check the capital adequacy of each bank on a solo basis (SCO10.4). All banking and other relevant financial activities of the group, regulated or not, are captured through full consolidation of majority-owned or controlled banking, securities and other financial entities (SCO30.1); where a securities or financial subsidiary is not consolidated, the group's equity and other capital investments in it are deducted under CAP30 and its assets, liabilities and third-party capital removed from the balance sheet (SCO30.3). Significant minority investments without control are deducted or, under conditions, consolidated pro rata (SCO30.4). Equity and other capital investments in insurance subsidiaries and significant minority investments in insurance entities are in principle deducted, any alternative must keep a group-wide view and avoid double counting, and the bank discloses the national approach used for insurance entities (SCO30.5).
The graph holds this control, the 0 it maps to, and the evidence behind each claim, over MCP and REST.