APRA Updates FAQs on Measurement of Capital by Banks and Insurers
APRA updated the frequently asked questions for measurement of capital by banks, general insurers, and life insurers. These questions provide further information to assist regulated entities in the interpretation of Banking Prudential Standard APS 111, Insurance Prudential Standard GPS 112, and Life Insurance Prudential Standard LPS 112.
The new, deleted, and updated questions cover the following topics:
- Information relevant for the assessment of eligibility of capital instruments
- Conversion requirements for additional tier 1 and tier 2 capital instruments
- Optional redemption of additional tier 1 and tier 2 capital instruments
- Mutual equity interests
Related Links
Keywords: Asia Pacific, Australia, Banking, Insurance, Life Insurance, FAQ, APS 111, GPS 112, LPS 112, Regulatory Capital, APRA
Featured Experts
Trevor Howes
IFRS 17 technical advisor; AXIS actuarial modeling system expert; extensive experience in life insurance and life reinsurance, with focus on modeling, valuation, and financial reporting
Nick Jessop
Scenario modeling expert; risk management specialist; quantitative financial modeler
Pierre Xu
Quantitative researcher; portfolio management expert
Related Articles
BCBS Amends Guidelines on Sound Management of AML/CFT Risks
BCBS amended the guidelines on sound management of risks related to money laundering and financing of terrorism (ML/FT).
EBA Guidelines on Treatment of Structural Foreign Exchange Under CRR
EBA finalized the guidelines on treatment of structural foreign-exchange (FX) positions under Article 352(2) of the Capital Requirements Regulation (CRR).
FSB Issues Statement on Impact of COVID-19 Crisis on Benchmark Reform
FSB published a statement on the impact of COVID-19 pandemic on global benchmark transition.
IAIS Publishes List of Internationally Active Insurance Groups
IAIS published the list of Internationally Active Insurance Groups (IAIGs) publicly disclosed by group-wide supervisors.
FED Temporarily Revises FR Y-9C With Respect to PPPLF and CARES Act
FED has temporarily revised the reporting form on consolidated financial statements for holding companies (FR Y-9C; OMB No. 7100-0128).
EC Launches Consultation on Review of Solvency II Directive
EC launched a consultation on the review of the key elements of Solvency II Directive, with the comment period ending on October 21, 2020.
ECB Consults on Supervisory Approach to Consolidation in Banking
ECB launched a consultation on the guide that sets out supervisory approach to consolidation projects in the banking sector.
PRA Letter Sets Expectations on Approach to Managing Climate Risks
PRA published a letter that builds on the expectations set out in the supervisory statement (SS3/19) on enhancing banks' and insurers' approaches to managing the financial risks from climate change.
US Agencies Finalize Amendments to Swap Margin Rule
US Agencies (Farm Credit Administration, FDIC, FED, FHFA, and OCC) finalized changes to the swap margin rule to facilitate implementation of prudent risk management strategies at banks and other entities with significant swap activities.
IAIS on Package for 2020 Data Collection on ICS and Aggregation Method
IAIS published technical specifications, questionnaires, and templates for 2020 Insurance Capital Standard (ICS) and Aggregation Method data collections.
