Examples of Risk Margin in a sentence
A Risk Margin is then applied to reflect the premium that would be required by a third party assuming the business at the valuation date.
The term "Portfolio Risk Margin" means the Permitted Cover required to be provided by Clearing Members to the Clearing House related to the size and risk of a Clearing Member’s Open Contract Positions in relation to CDS Contracts, as determined pursuant to Rule 503(f)(i).
For the purpose of calculating the gross limit of a SEOCH Participant, since positions in the House, Market Maker, Individual Client and Client Offset Claim Accounts are margined on a net basis, the respective resultant Risk Margin and Mark-to-Market Margin of these accounts will be used in calculating the gross limit of the SEOCH Participant.
The Risk Margin is designed to ensure that the value of technical provisions is equivalent to the amount that a third undertaking would be expected to require in order to take over and meet the Company’s insurance obligations.
The Mark-to-Market Margin, Risk Margin and Total Margin Requirement of the SEOCH Participant will be measured in Hong Kong dollars or its non-Hong Kong dollar currency equivalent based on the exchange rate determined by SEOCH for each type of Settlement Currency.