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CA-1.2.12

Tier 2 capitalG includes the following liabilities of an insurance firmG , to the extent permissible by Paragraph CA-1.2.7:

(a) Interim net income, excluding 55% of any unrealised fair value gains arising from investments held to maturity as per IAS 39, reviewed by the external auditorsG in accordance with International Standards on Auditing (ISA);
(b) Perpetual cumulative preference shares;
(c) Mandatory convertible notes and similar capital instruments;
(d) Perpetual subordinated debtG ;
(e) Any other hybrid (debt/equity) capital instruments of a permanent nature;
(f) Dated subordinated debtG with an original termG of at least 5 years;
(g) Limited life redeemable preference shares with an original termG of at least 5 years;
(h) Any other similar limited life capital instruments with an original termG of at least 5 years; and
(i) Investment fair value reserve (IAS 39) on investments held available for sale, discounted to 45%.
Amended: January 2007
 Versions
(2 Versions)
 
Up to Jun 30 2007Jul 1 2007 onwards
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