标题: Core Capital and Excess Capital [打印本页] 作者: John10 时间: 2011-7-13 16:24 标题: Core Capital and Excess Capital
Hi, all
I want to confirm below. My understandng is correct?
1. Safty reserve for unexpected outlay is included in Core Capital ?
2. To calculate Excess Capital, implied liabilities also be excluded from the assets ?
Thanks in advance.作者: justin88 时间: 2011-7-13 16:24
I assume core is for "required" spending. So I assume safety reserve is in "core" as this is likely required. I would think you exclude "implied liabilities" from Excess capital as you have to pay this out and invest the difference.作者: IAmNeil 时间: 2011-7-13 16:24
Thanks, darlia!作者: susana 时间: 2011-7-13 16:24
Look at the chart at exhibit I Hypothetical Life balance sheet and definition of core cap on same page. Reading: Estate planning in global context. Cannot not be put any clearer than that.
