Proposals to reduce Solvency II's capital charges on debt securitisations are insufficient and could lead to European insurers' demand for such assets drying up, according to analysts and investment managers.
The European Insurance and Occupational Pensions Authority (Eiopa) last week proposed a more granular treatment of securitisations.
Under the proposals, the capital charges for less risky issues would be reduced to 4.30% while those for riskier ones would rise to 12.50%. Current draft rules
The week on Risk.net, March 10-16 2018Receive this by email