Determination of building blocks.

CFR · 2024-01-01 · US · Title 12

(a) (b) (1) (i) All companies that are— (A) Required to be reported on the FR Y-6; (B) Required to be reported on the FR Y-10; or (C) Classified as affiliates in accordance with NAIC Statement of Statutory Accounting Principles (SSAP) No. 25 and Schedule Y; (ii) Any company, special purpose entity, variable interest entity, or similar entity that: (A) Enters into one or more reinsurance or derivative transactions with inventory companies identified pursuant to paragraph (b)(1)(i) of this section; (B) Is material; (C) Is engaged in activities such that one or more inventory companies identified pursuant to paragraph (b)(1)(i) of this section are expected to absorb more than 50 percent of its expected losses; and (D) Is not otherwise identified as an inventory company; and (iii) Any other company that the Board determines must be identified as an inventory company. (2) (A) Determine the indicated capital framework for each inventory company; and (B) Identify inventory companies that are subject to a regulatory capital framework. (ii) The indicated capital framework for an inventory company is: (A) If the inventory company is not engaged in insurance or reinsurance underwriting, the U.S. Federal banking capital rules, in particular: ( ( (B) If the inventory company is engaged in insurance or reinsurance underwriting and subject to a regulatory capital framework that is scalar compatible, the regulatory capital framework; and (C) If the inventory company is engaged in insurance o

official document · source cfr-2024 · id 12:§ 217.605