capital adequacy

Examples of solvency margin

solvency margin
The assessment of the solvencymargin required according either to a reserve-based or an obligations-based condition is performed through simulation.
Reserves are the solvencymargin expressed as a share of total assets.
The solvencymargin should be within the target area or at least above the minimum requirements.
Nowadays, equity investments are allowed, but the amount of equity is tied to the coverage and solvencymargin regulations.
In table 2 the solvencymargin required at time 0 is quoted according to conditions (3.15) and (3.21).
So, in the example the magnitude of the difference between such reserves is actually similar to the magnitude of the required solvencymargin.
The main parameters of pension fund used in this study are asset allocation figures, liability structure information, and solvencymargin limits.
When an insurance portfolio is concerned, it is necessary : (i) to set up the portfolio reserve, (ii) to allocate the solvencymargin (or risk-based capital).
In the categorization, equity investments clearly belong to the riskier category than fixed income investments, and equity exposure increases the solvencymargin limits.
For every pension fund, age structure data, solvencymargin data, and asset allocation information are collected.
These examples are from corpora and from sources on the web. Any opinions in the examples do not represent the opinion of the Cambridge Dictionary editors or of Cambridge University Press or its licensors.