Interactive Data offers a comprehensive approach to managing the data and reporting requirements for asset managers and insurers under Solvency II. Solvency II is the European-wide regulation for the insurance industry. It encompasses all insurance and reinsurance fi rms with gross premium income exceeding €5m or gross technical provisions in excess of €25m HQ in EU and subsidiaries outside of the EU. It also applies to European subsidiaries of global insurance companies.

solvency ii: What are the implications for my fi rm?

• Asset data requirements - Higher data volumes and the merging of market and reference data sets that are traditionally processed separately and the implementation of new data attributes and analytics to stress asset values all present signifi cant challenges around data quality, complexity, timeliness and operational models.

• Data governance impact – Insurers are expected to demonstrate that data used to support the SCR process is ‘accurate,’ ‘complete’ and ‘appropriate.’ Firms therefore need to ensure they have the appropriate data management and quality assurance controls in place.

• Accuracy in calculating capital adequacy – Inaccuracies in the identifi cation and valuation of assets could potentially result in either too little capital being retained, putting the fi rm in breach of capital requirement limits, or too much capital being set aside that could otherwise be utilised by the business to generate revenues.

• More granular and frequent reporting – Quantitative Reporting Templates (QRTs) and a move to quarterly returns, as well as a reduction in the reporting requirement timeframe from six weeks before end of quarter in year one to four weeks in subsequent years.

Pillar 1Quantitative Requirements

➜ technical provisions

➜ minimum capitalrequirement (mCR)

➜ solvency CapitalRequirement (sCR)

Pillar 2Qualitative Requirements

➜ Corporate governance➜ Principles for internal

controls and riskmanagement

➜ oRsa

Pillar 3Reporting & Disclosures

➜ Enhance market disciplinethrough public disclosures

➜ annual sFCR and solvency reports

➜ QRts

• Market-consistent valuationof assets and liabilities

• Risk-based requirements

• Validation of internal models

• Business governance

• Risk-based supervision

• Insight into actual riskand return profi le of an insurance company

Solvency II Data SolutionsM O R E I N F O

interactive Data: Unparalleled data expertise for solvency ii

Interactive Data provides high-quality reference data on over 10 million financial instruments, and collects, edits, maintains and delivers pricing and pricing-related data from more than 450 markets and exchanges around the globe. The combination of high quality reference and pricing data, coupled to proven analytics can help your firm successfully manage the transition to Solvency II and maintain ongoing compliance.

Data required for market risk

➜ Equity Risk

➜ interest rate risk

➜ Credit risk

➜ Forex risk

➜ Concentration risk

➜ illiquidity risk

Data required for Default risk

➜ Counterparty default risk

➜ Concentration default risk

Data delivered by Interactive Data’s Solvency II solution

integratedCiC Code

➜ new standard for solvency ii used for QRt reporting

legal Entity identifier (lEi) iso 17442

➜ *aViD mapped to lEi

➜ aVoX (a DtCC company) cleansed organisational hierachies linked to our instruments’ pricing and reference data

integrated issuer industrial classifications:

➜ naCE

➜ siC

➜ naiCs

Patented, market - leading fixed income evaluations

➜ 2.8 m securities per day

➜ Fair-Value

➜ Duration, Convexity, option-adjusted spreads, Key Rates

➜ analytics

➜ issuer Credit Curves

➜ Credit Derivatives

➜ swaps

integrated, market-leading market and reference data

➜ Equities

➜ Bonds

➜ Funds

➜ Futures

➜ options

interactive Data’s unique approach to addressing solvency ii compliance

Interactive Data’s Solvency II approach delivers unparalleled breadth and depth of cross-asset data to enable asset managers and their insurance clients by providing:

• The extensive high-quality asset data required to support the Minimum Capital Requirement (MCR) and Solvency Capital Requirement (SCR) calculation process under Pillar 1 requirements

• The additional asset data requirements specific to Quantitative Reporting Templates (QRTs) under Pillar 3

*AVOX unique identifier

Interactive Data’s Solvency II data solution also contains a number of key data attributes and service capabilities required to support Pillar 1 and Pillar 3 requirements.

Complementary identifi cation Code (CiC)

Interactive Data’s Solvency II solution includes fully integrated mapping logic for the CIC based on the underlying data attributes to support classifi cation of assets under QRT reporting:

• Cross referenced to CFI classifi cations for ease of implementation

• Applied cross asset classes to include over 2.5 million fi nancial assets

Enhanced entity data management with integrated lEis

Interactive Data’s Business Entity Service combines our securities master with entity linkages from Avox allowing clients to ‘roll-up’ asset exposures to the issuer and ultimate parent entity. This enables users to understand exposure to a given corporate group through a unique collaborative partnership established over six years:

• Includes support for Avox AVID & LEI (Legal Entity Identifi er ISO 17442)

• Fully supports underlying LEI reference data attributes and mapped to Avox cleansed organisational hierarchies to identify concentration and aggregate exposure

• Includes daily deltas to support changes

Consistent global industrial classifi cations (includes naCE)

Interactive Data provides industrial classifi cations data including the pan-European classifi cation system (NACE), Standard Industrial Classifi cation (SIC) and North American Industry Classifi cation System (NAICS).

This fully integrated approach provides Interactive Data’s clients with consistency across global entities and mapped to individual assets to enhance sector and geographical analysis:

• Applied at the issuer level for consistency across global asset classes

CIC codes for instruments

Entity Macro Hierachy Legal Entity Identifi er (LEI)Avox identifi er and BIC

NACE plus SIC & NAICS

limitations: This document is provided for informational purposes only. The information contained in this document is subject to change without notice and does not constitute any form of warranty, representation, or undertaking. Nothing herein should in any way be deemed to alter the legal rights and obligations contained in agreements between Interactive Data and its clients relating to any of the products or services described herein. Interactive Data makes no warranties whatsoever, either express or implied, as to merchantability, fitness for a particular purpose, or any other matter. Without limiting the foregoing, Interactive Data makes no representation or warranty that any data or information (including but not limited to evaluations) supplied to or by it are complete or free from errors, omissions, or defects. Interactive DataSM

and the Interactive Data logo are service marks of Interactive Data Corporation. Other products, services, or company names mentioned herein are the property of, and may be the service mark or trademark of, their respective owners

©2013 Interactive Data

oUR oFFiCEs: Amsterdam n Bedford n Chicago n Cologne n Dubai n Dublin n Frankfurt n Geneva n Glasgow n Hayward n Helsinki n Hong Kong

Irvine n Jersey, CI n London n Luxembourg n Madrid n Melbourne n Milan n Minneapolis n New York n Paris

Rome n Santa Monica n Singapore n Sydney n Tokyo n Toronto n Zurich

integrated evaluated prices data

Interactive Data’s patented, independent and industry-leading evaluated pricing service is an integral component of the Solvency II data service, providing prices for instruments not on liquid markets. The processes and workflow providing transparency ensures firms gain:

• The underlying methodology of an evaluated price

• Understanding into how a net asset value (NAV) has been calculated

• Fixed Income analytics to stress test assets and model scenarios to determine impact on portfolio values, and help calculate the correct levels of capital required

M O R E I N F O

For more information, please visit www.interactivedata.com, email eu-info@interactivedata.com

or call +44 (0)20 7825 7800