Related provisions for INSPRU 7.1.12
1 - 3 of 3 items.
2This section sets out in greater detail the approach to be taken by a firm when carrying out the assessment of capital described in the preceding paragraph. This is the assessment referred to as an individual capital assessment. The rules in GENPRU 1.2 also (see GENPRU 1.2.30R (1)(c)) require a firm to identify and assess risks to its being able to meet its CRR in the future. This is a separate requirement from that to carry out an ICA, and guidance on this requirement is provided
GENPRU 1.2.42 R requires a firm to carry out stress tests and scenario analyses for each of the major sources of risk identified in accordance with GENPRU 1.2.30 R. A firm may also approach the assessment of the adequacy of its capital resourcesin another way. The method should be proportionate to the size and nature of its business.
SUP 4.3.13 R is not intended to be exhaustive of the professional advice that a firm should take whether from an actuary appointed under this chapter or from any other actuary acting for the firm. Firms should consider what systems and controls are needed to ensure that they obtain appropriate professional advice on financial and risk analysis; for example:11(1) risk identification, quantification and monitoring;1(2) stress and scenario testing;1(3) ongoing financial conditions;1(4)