Key Benefits:
289. Regulation of the Financial Markets Authority (FMA) amending the capital investment regulation 2002
Due to § § 78 (3) and 79 (3) of the Insurance Supervisory Act-VAG, BGBl. No 569/1978, as last amended by the Federal Law BGBl. I n ° 48/2006, is being prescribed:
The Capital Investment Regulation 2002, BGBl. II No 383, as last amended by the BGBl Regulation. II No 364/2004, shall be amended as follows:
1. § 1 para. 1, second and third sentence are:
" In selecting the assets to be used for cover, respect shall be paid to the risks associated with the assets, in particular to a sufficient creditworthiness of the issuer or the contractual partner. For the assets used for the cover and the contractual partners in derivative financial operations, an appropriate risk monitoring corresponding to the relevant asset value shall be ensured and documented. "
2. In Article 1 (2), the following sentence is added:
"Liabilities within the meaning of Section 199 of the German Commercial Code (HGB), which are not to be shown on the liabilities side in the balance sheet, must be deducted with the highest possible value resulting from the underlying contractual liability relationship."
3. § 1 (3) Z 2 reads:
| " 2. |
securities from their own issuers, " |
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4. In Section 1 (3) (3) (3), the point at the end shall be replaced by a supplement and the following Z 4 shall be added:
| " 4. |
Shares in undertakings for whose obligations the insurance undertaking is liable as a personally liable partner or whose profits and losses are assumed by the insurance undertaking in the context of profit and loss management contracts " |
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5. § 2 para. 1 Z 2 lit. b is:
| " (b) |
provided that they are held on a stock exchange or in a securities market in accordance with Z 1 lit. b note or be traded: |
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| aa) |
Securitised exposures recognised in accordance with the rules in force in the country or in other Contracting States as part of the own funds of credit institutions or insurance undertakings, |
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| bb) |
Securitised exposures and assets the holders of which have to bear the economic initial risk of the issuer or the contracting party in accordance with the investment conditions or other contractual terms and conditions, " |
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6. § 2 para. 1 Z 2 lit. d is:
| " (d) |
provided that they can be sold in the short term: |
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| aa) |
Other securitised exposures to companies domiciled in the country, in another Contracting State or other full member states of the OECD, as part of own resources, in accordance with the rules in force in the country or in other Contracting States. recognised by credit institutions or insurance undertakings, |
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| bb) |
other securitised exposures and assets the holders of which have to bear the economic initial risk of the issuer or the contracting party in accordance with the investment conditions or other contractual terms and conditions, " |
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7. § 2 para. 1 Z 3 lit. a is:
| " (a) |
Shares of capital investment funds or of investment companies of open type which are subject to the provisions of Directive 85 /611/EEC or to the provisions of Sections I and Ia of the Investment Fund Act-InvFG, BGBl. No. 532/1993, as last amended by the Federal Law BGBl. No 48/2006-with the exception of capital investment funds within the meaning of § 20a InvFG, which, in addition to liquid funds, exclusively carry out investment in accordance with § 20a (1) Z 3 InvFG-if the company affiliated with derivatives is responsible for the management of the investment in accordance with Section 21 (3) of the InvFG and the Regulation on the risk calculation and reporting of derivatives issued by the FMA pursuant to Article 21 (2) and (3) of the InvFG, or the Regulation on the basis of Article 21 of the Management Board in the host Member State of the managing company Directive 85 /611/EEC on the national provisions to be applied to the total risk of 100 vH of the It does not exceed fund assets and ensures compliance with this limit by an in-house control process, " |
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8. In § 2 para. 1 Z 5 lit. b becomes the phrase "the subject matter of the company exclusively for the acquisition of real estate" through the phrase "the main purpose of the acquisition of real estate" replaced.
9. In § 2 para. 1 Z 5 lit. c will be the phrase "exclusively insurance undertakings" through the phrase "exclusively or majority insurance undertakings" and the phrase "the subject matter of the company exclusively for the acquisition of real estate" through the phrase "the main purpose of the acquisition of real estate" replaced.
10. § 2 para. 1 Z 7 reads:
| " 7. |
Shares in Funds, |
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| a) |
which are assessed in accordance with the law, the statutes or the actual exercise in accordance with the principles of risk-spreading and which are subject to high price volatility even in investments which are credit-financed, are subject to high price volatility, risk-spreading or making it difficult to assess them, with no obligation to repay the investor and to invest in short selling and in assets whose value development is linked to such investment, |
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| b) |
in the sense of § 20a InvFG, which, in addition to liquid funds, exclusively carry out predisposition in accordance with Article 20a (1) (1) Z 3 of the InvFG, |
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| where these assessments have to be preceded by detailed risk-based analyses on qualitative, quantitative and legal aspects of the assessment, " |
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11. § 2 para. 1 Z 8 reads:
| " 8. |
Rights arising from derivative financial instruments made for the sole purpose of securing individual or multiple assets together against changes in value, with the hedging instruments being allocated where the assets to be protected are Assets are located. The effectiveness of the backup relationship must be documented and checked on a regular basis, " |
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12. In accordance with § 2 (1) Z 8 the following Z 9 is inserted:
| " 9. |
other assets of companies, issuers or exhibitors who do not fall under Z 1 to 8 and which meet the requirements of section 78 (1) of the VAG, provided that such assets correspond to their respective risk content in accordance with a are subject to internal risk management. " |
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13. In § 2 para. 2 the word order shall be "and Z 7" through the phrase "and Z 9" replaced.
14. In § 2 para. 3 the word order shall be "and Z 7" through the phrase "and Z 9" replaced.
15. In § 2 para. 5 the word order shall be "§ 20 sec. 2 Z 2 VAG" through the phrase "§ 20 sec. 2 Z 3 VAG" replaced.
Section 2 (5) Z 1 reads as follows:
| " 1. |
Shares of capital investment funds or of investment companies of open type which comply with the provisions of Directive 85 /611/EEC or which comply with the provisions of the InvFG. If, in the case of performance, a right to vote on the relationship between shares in capital investment funds and/or Cash benefits shall be provided in the respective Contracting State in which insurance contracts are offered to the policyholder for the selection of the capital investment funds available for the purpose of public distribution, " |
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17. § 2 para. 6, first sentence reads:
"The provisions of paragraphs 1 and 7 and of § 3 shall not apply to cover the cover requirement of the separate division of the cover stock in accordance with Section 20 (2) Z 5 VAG."
18. According to Article 2 (6), the following paragraph 7 is inserted:
" (7) In order to cover the cover requirement of the separate division of the cover stock in accordance with section 20 (2) Z 4 of the VAG:
| 1. |
Assets according to § 2 (1) are suitable for covering the cover requirement. In the case of products with an external capital guarantee, it shall be ensured that at the time of the acquisition of the capital investment concerned, the credit rating of the underlying assets and of the guarantor shall be at least "A" and/or "A2" shall be a generally accepted credit rating agency. In the event that there is no external credit rating, an internal estimate should be made. With regard to the risks associated with the capital investment, adequate risk management is to be established for each insurance product. |
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| 2. |
The allocation of assets to insurance products is sufficient to document and to make it comprehensible. |
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| 3. |
The provisions of § 3 shall not apply. " |
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19. In § 3 paragraph 1 Z 1 lit. a becomes the phrase "pursuant to § 2 (1) Z 7" through the phrase "pursuant to § 2 (1) Z 9" replaced.
20. In § 3 paragraph 1 Z 1 lit. c will be the phrase "up to 40 vH:" through the phrase "up to 25 vH:" replaced.
21. § 3 (1) Z 9 to 13 are:
| " 9. |
up to 1 vH in each case: individual assets pursuant to § 2 (1) Z 7 of the same company, issuers or exhibitors with the exception of roof fund constructions with at least ten different sub-funds and apportionments pursuant to § 20a para. Z 3 InvFG, but not more than 7 vH in total, |
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| 10. |
up to 50 vH in total: credit in accordance with § 2 para. 1 Z 6 lit. a, |
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| 11. |
up to 3 vH in total: cash balances in accordance with § 2 para. 1 Z 6 lit. b, |
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| 12. |
up to 1 vH: individual assets pursuant to § 2 (1) Z 9 of the same company, issuer or issuer, but not more than 5 vH in total, |
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| 13. |
(a) up to 1 vH: individual securities in accordance with § 2 (1) Z 1 and Z 2 lit. b and d as well as individual loans pursuant to § 2 (1) (4) (a), (c), (d) and (f), which do not have a credit rating equivalent to the investment grade, |
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| b) |
Shares of capital investment funds or of investment companies of open type according to § 2 para. 1 Z 3 lit. (a) and b, in respect of their share in bonds which, on average, do not have a creditworthiness corresponding to the investment grade; shares in the fund assets of mixed capital investment funds are in the case of non-payment to be attributed in full to non-investment grades, whereby shares in mixed capital investment funds in capital investment funds according to Article 20a (1) of the InvFG must be calculated. |
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22. The previous § 4 receives the sales designation "(1)" . As a new paragraph 2, the following is added:
" (2) shares in capital investment funds or of open-type investment companies that do not comply with the criteria of § 2 (5) Z 1 as amended by the BGBl Regulation. II No 289/2006, and prior to the entry into force of this provision, have been acquired by the insurance undertaking until the end of the relevant life insurance contract to the cover stock. "
23. The following § 8 is added to § 7:
" § 8. § 2 (5) Z 1 in the version of the BGBl Regulation. II No 289/2006 shall enter into force on 1 September 2006. § 1 (1) and (2), § 1 (3) Z 2, Z 3 and Z 4, § 2 sec. 1 Z 2 lit. b and lit. d, § 2 para. 1 Z 3 lit. a, § 2 para. 1 Z 5 lit. b and c, § 2 para. 1 Z 7, Z 8 and Z 9, § 2 para. 2 and para. 3, para. 5, para. 6 and para. 7, § 3 paragraph 1 Z 1 lit. a and lit. c as well as § 3 (1) Z 9 to 13 in the version of the BGBl Regulation. II No 289/2006 are due to 1. Jänner 2007 in force. Section 1 (9) shall expire at the end of 31 December 2006. "
Pribil Traumüller
