CP12/32: Implementation of the Alternative ... - BVCA admin

Professional negligence capital
requirement
IPRU(INV) 7.3.4R.
The amount to be entered in this element is
calculated using elements 35 to 47 in the fourth
quarter of the preceding financial year. Each of
the four quarters in any financial year should
use the figure calculated in the fourth quarter of
the preceding year.
Where there was no preceding year, the figure
entered is that determined in accordance with
IPRU(INV) 7.3.7R
23B This is the amount of additional own funds used
to cover potential liability risks arising from
professional negligence in relation to AIFM
activities in lieu of professional indemnity
insurance, as per IPRU(INV) 7.3.12R(1)(a).
PII capital requirement 24B This is the amount of any additional own funds
required to cover any defined excess in the
insurance policy, as required by IPRU(INV)
7.3.12R(1)(b) and any exclusions in the
insurance policy that would otherwise result in
the firm having insufficient resources to cover
liabilities arising, as required by IPRU(INV)
7.3.17R..
Total capital requirement 25B This is the higher of 21B and 22B, plus either
23B or 24B.
Surplus / deficit of own funds 26B This is 20B less 25B.
Own funds test for internally managed AIFs
Own funds 27B The amount of own funds calculated in
accordance with IPRU(INV) 7.4R. This is the
figure entered at 19B.
Base capital resources requirement 28B This is the requirement specified in IPRU(INV)
7.3.1R. If the data item is not being submitted
with figures specified in Euros, then the figure
should be converted to the currency of the
submission using the closing mid-market rate of
Professional negligence capital
requirement
exchange on the reporting period end date.
29B This is the amount of own funds used to cover
potential liability risks arising from professional
negligence in relation to AIFM activities in lieu
of professional indemnity insurance, as per
IPRU(INV) 7.3.12R(1)(a).
PII capital requirement 30B This is the amount of any additional own funds
required to cover any defined excess in the
insurance policy, as required by IPRU(INV)
7.3.12R(1)(b) and any exclusions in the
insurance policy that would otherwise result in
the firm having insufficient resources to cover
liabilities arising, as required by IPRU(INV)
7.3.17R.
Surplus / deficit of own funds 31B This is 27B less the total of 28B plus either 29B
or 30B.
Liquid assets test
Liquid assets requirement 32B For a colletive portfolio management firm, this
is the amount required by IPRU(INV) 7.2.1R(3).
For an internally managed AIF, this is the
amount required by IPRU(INV) 7.2.2 R(3).
Liquid assets held 33B This is the amount of liquid assets held by the