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Group Own Funds Transferability

Calculate the Group Eligible Own Funds for Solvency Capital Requirement and Group Solvency Capital Requirement Coverage Ratio instantly.

€
€
EntityAvailable Own FundsLocal SCRTransferabilitySurplusTransferableLockedShortfall
Entity 1
€
€
%
€6 000 000€4 200 000€1 800 000€0
Entity 2
€
€
%
€0€0€0€3 000 000
Entity 3
€
€
%
€3 000 000€1 500 000€1 500 000€0

Total Transferable Surplus

€5 700 000

Total Locked Surplus

€3 300 000

Coverage Ratio

105.71%

Group Eligible Own Funds

€74 000 000

=

Exact Eligible Own Funds

€71 300 000

+

Transferable Surplus

€5 700 000

−

Entity Shortfall

€3 000 000

Buffer vs SCR

€4 000 000

=

Group Eligible Own Funds

€74 000 000

−

Group SCR Requirement

€70 000 000

Group SCR Coverage Ratio

105.71%

=

Group Eligible Own Funds

€74 000 000

÷

Group SCR Requirement

€70 000 000

1Step 1

Calculate each entity surplus or shortfall against its local SCR

Surplusi=max⁡(OFi−SCRi,0),Shortfalli=max⁡(SCRi−OFi,0)Surplus_i=\max(OF_i-SCR_i,0),\quad Shortfall_i=\max(SCR_i-OF_i,0)
2Step 2

Apply the transferability percentage to entity surplus

Transferablei=Surplusi×TransferabilityiTransferable_i=Surplus_i\times Transferability_i
3Step 3

Adjust exact eligible own funds by transferable surplus and shortfalls

EOFgroup=max⁡(EOFexact+∑Transferablei−∑Shortfalli,0)EOF_{group}=\max(EOF_{exact}+\sum Transferable_i-\sum Shortfall_i,0)

Understand the Group Own Funds Transferability

Overview

This calculator implements an atomistic group own-funds transferability step.[1] It converts entity-level surpluses into transferable versus locked amounts, nets those amounts with entity shortfalls, and derives group-eligible own funds coverage against group SCR.

Input Terms

  • Exact Eligible Own Funds for SCR: Final solo eligible own funds after caps, restricted-capital adjustment, and deductions.
  • Group SCR Requirement: Group-level SCR denominator for transferability-aware coverage.
  • Entity Available Own Funds: Own funds available at each entity before transferability filtering.
  • Entity Local SCR Requirement: Local solvency requirement that must be met before any transfer.
  • Entity Transferability Percent: Share of entity surplus assessed as transferable to the group.

Technical Rationale

For each entity, the calculator computes:

  • local surplus,
  • local shortfall,
  • transferability factor,
  • transferable surplus, and
  • locked surplus.

It then aggregates all entities and computes a net transferability effect (`total transferable surplus - total shortfall`). That net effect is applied to upstream exact solo eligible own funds to derive transferability-adjusted group eligible own funds, coverage ratio, and buffer versus group SCR.

Important Notes

  • Atomistic scope only: This calculator does not perform full group SCR consolidation.
  • No duplication: It consumes upstream final solo eligible own funds and only handles transferability mechanics.
  • Governance dependency: Transferability percentages must reflect legal/entity constraints and supervisory expectations.
  • Current-rule check: Commission Delegated Regulation (EU) 2026/269 amended the 2015 Delegated Regulation in areas including group solvency. Transferability, availability, and group own-funds assumptions must be checked against the current consolidated rulebook before professional use.

Sources

Default values are illustrative sample inputs for navigation, training, and QA. Replace them with controlled data before using the result in capital analysis, governance, or reporting decisions.