The rule in plain words
The "External rating" should not be provided whether no ECAI has been nominated and a simplification is being used to calculate the SCR
What to do if your return fails it
- 01Open the table below and find the cells the rule reads.
- 02The check applies only when its first part holds in your return. When it does, the second part must hold too: fix the second part, or correct the first.
- 03It runs only when your filing indicators mark IR.06.02 as reported.
- 04This is a warning. It does not stop the return on its own, but your supervisor may ask you to explain it.
The cells it reads
List of assets - information on assets (IR.06.02.04.02)
Columns
- C0320External rating
- C0330Nominated ECAI
Which returns it applies to
Line4 Check runs it on quarterly group (QRG) and annual group (ARG) returns on Bank of England taxonomy 2.2.0. The Bank of England applies it to quarterly group (QRG) and annual group (ARG) returns, as a warning.
The Bank’s own words and formula
The plain words above are the Bank of England’s own, word for word, from its list of validations.
Show the formulaShowHide
The Bank of England's formula. Cells are written as {t: table, r: row, c: column}.
if ({t: IR.06.02.04.02, c: C0330, z: Z0001} = $[s2c_SE:x187]) then isNull({t: IR.06.02.04.02, c: C0320, z: Z0001}) else true()Other rules on List of assets (IR.06.02)
- The "External rating" should not be provided whether no ECAI has been nominated and a simplification is being used to calculate the SCR (IR_bv0870_01)
- List of assets: a conditional check (IR_bv0869_01)
- List of assets: a conditional check (IR_bv0869_02)
- There should be no nominated ECAI appointed in case "no rating available" was reported for "Credit quality step" (IR_bv0872_01)Blocking
- There should be no nominated ECAI appointed in case "no rating available" was reported for "Credit quality step" (IR_bv0872_02)Blocking
- List of assets and collective investment undertakings - look-through approach: a conditional check (IR_bv0902_01)Blocking
- List of assets and collective investment undertakings - look-through approach: a conditional check (IR_bv0902_03)Blocking
- List of assets and collective investment undertakings - look-through approach: the format of a code or text (IR_bv0903_01)Blocking
Every Solvency UK rule on IR.06.02
Checks like this one, run at the point of submission, are the first step to real-time supervision. Line4 builds SupTech software for financial regulators that runs checks like these as each return arrives.