Which is the appropriate qualifying question for a prospect for the IBMAlgorithmics
Actuarial & Financial Modeler?
Answer : B
Explanation: Algorithmics Actuarial and Financial Modeling provides a range of business benefits, including:
* Advanced actuarial modeling to undertake the full spectrum of global actuarial calculations, and address the challenges of real-world, principles-based modeling.
Supports regulatory compliance including Solvency II and other regimes.
* Scalable modeling and production infrastructureenables full transparency, audit, workflow and control over the modeling process.
* Critical decision support enables more effective, risk-informed business strategies.
* Helps reduce actuarial costs and optimize ease of use with swift implementation and processing speeds.
Note:
* Supports regulatory compliance
Enhances confidence with a secure modeling and production environment that supports compliance across a range of risk-based regulatory and other supervisory regimes, including Solvency II and IFRS.
Which type of global insurance company must comply with the regulations introduced by
Solvency II?
Answer : C
Explanation:
* Solvency II is an EU legislative programme to be implemented in all 27 Member States, including the UK. It introduces a new, harmonised EU-wide insurance regulatory regime.
The legislation replaces 13 existing EU insurance directives.
* The Solvency II Directive 2009/138/EC is an EU Directive that codifies and harmonises the EU insurance regulation. Primarily this concerns the amount of capital that EU insurance companies must hold to reduce the risk of insolvency.
What is the product at the core of the IBM Algorithmics Economic Capital and Solvency II:
Compliance and Reporting Edition?
Answer : B
Explanation: Compliance and Reporting Edition
*Offers a pre-configured, robust and rapid implementation solution for Solvency II that focuses on a Standard Formula approach. Provides you with the capabilities of Algo
Financial Modeler, a powerful actuarial and financial modeling engine, combined with a workflow, governance and reporting tool to deliver an end-to-end solution for Solvency II
*Algo Financial Modeler can either calculate liability cashflows or act as an aggregation layer to consolidate cashflows generated by existing actuarial systems.
* Offers the flexibility to scale up to the more advanced feature set of the EnterpriseEdition to meet the challenges of changing business requirements and growth.
Which of these C-level executives would be a key influencer for the selection of a Solvency
II Compliance Solution?
Answer : C
Explanation:
* Solvency II is an EU legislative programme to be implemented in all 27 Member States, including the UK. It introduces a new, harmonised EU-wide insurance regulatory regime.
The legislation replaces 13 existing EU insurance directives.
* The Solvency II Directive 2009/138/EC is an EU Directive that codifies and harmonises the EU insurance regulation. Primarily this concerns the amount of capital that EU insurance companies must hold to reduce the risk of insolvency.
Which risk management technique is currently the main motivation for pension funds to acquire new risk management systems?
Answer : B
Explanation: Pension funds currently face a multitude of challenges and risks. We believe liability hedging (also known as liability matching) is an effective way to help de-risk a fund.
Which one of the following is the key legislative driver for insurance companies and pension funds to improve their risk management processes?
Answer : D
Explanation: Dodd-Frank: made changes in the American financial regulatory environment that affect all federal financial regulatory agencies and almost every part of the nation's financial services industry.
Incorrect:
Not A: Basel II, initially published in June 2004, was intended to create an international standard for banking regulators to control how much capital banks need to put aside to guard against the types of financial and operational risks banks (and the whole economy) face.
Not B: Basel III (or the Third Basel Accord) is a global, voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity risk.
Not C: The Solvency II Directive 2009/138/EC is an EU Directive that codifies and harmonises the EU insurance regulation.
How does Algorithmics address the different requirements for each size of institution that exists within the overall insurance and pensions markets?
Answer : A
Which IBMAlgorithmics Solution for the Insurance industry is delivered as a managed service?
Answer : B
Explanation:
Note:
* Algorithmics Portfolio Construction and Risk Management for Fund Managers is offered in threeeditions Reporting, Managed and Installed
Which Solvency II solution supports both Standard and Internal Formulas?
Answer : A
Explanation: The Algorithmics Economic Capital and Solvency II solution supports the development of an internal model and/or a StandardFormula approach.
What is the appropriate solution for an insurance company, managing its own assets, seeking an asset focused market risk solution?
Answer : A
Explanation: Algorithmics Portfolio Construction and Risk Management for Fund
Managers solution offers an advanced risk framework to optimize portfolio performance and risk oversight while addressing client and regulatory demands for better reporting in a timely fashion. The solution is designed in three editions Reporting, Managed and
Installed to support therequirements of Fund Managers for both absolute and relative risk, irrespective of their size, level of sophistication or objectives.
For which type of company would the Compliance & Reporting Edition of the IBM
Algorithmics Economic Capital & Solvency II Solution be most suitable?
Answer : D
Explanation: Compliance and Reporting Edition
* Offers a pre-configured, robust and rapid implementation solution for Solvency II that focuseson a Standard Formula approach. Provides you with the capabilities of Algo
Financial Modeler, a powerful actuarial and financial modeling engine, combined with a workflow, governance and reporting tool to deliver an end-to-end solution for Solvency II
* Algo Financial Modeler can either calculate liability cashflows or act as an aggregation layer to consolidate cashflows generated by existing actuarial systems.
* Offers the flexibility to scale up to the more advanced feature set of the Enterprise
Editionto meet the challenges of changing business requirements and growth.
What is the appropriate Solvency II solution for a large life insurance company with a complex organizational structure which prefers to build internal models?
Answer : C
What is the appropriate solution for an insurer seeking a stand alone reporting system for
Solvency I Compliance?
Answer : A
Which is the appropriate qualifying question for a prospect for the Pillar II solution?
Answer : A
What are the most likely organizations to be competing for control of a Solvency II
Compliance Initiative in a large complex insurance company'?
Answer : B
Have any questions or issues ? Please dont hesitate to contact us