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European Insurance and Occupational Pensions Authority
 

2943

Q&A

Question ID: 2943

Regulation Reference: (EU) 2023/894 - ITS with regard to the templates for the submission of information necessary for supervision

Topic: Reporting Templates

Template: S.06.04

Status: Final

Date of submission: 20 Dec 2023

Question

In Q&A 2553 and 2729 you confirm the S.06.04 is RECOMMENDED to look through,e.g. based on the S.06.03. But this are only assets classes and doesn't mean anything about climate risk. The same for the NACE-codes in the S.06.02. You also answer that "for this, undertakings are allowed to make their own estimates". By doing so their is no force for the sector for one (comparable) standard. We are a small insurer and asked our external assets manager if they could profide us with classification of assets to climate risk. But they can't if their is no sector standard because they have to anticipate on every client with different requests. EIOPA (and EBA) has suggested to use the methodology of Battistion et al 2017 (https://www.eiopa.europa.eu/system/files/2020-12/sensitivity-analysis-c…). Here they map NACE to CPRS2 and that's a one on one mapping so very simple to use and for asset managers to provide through their standard TPT-file (Tripartite Template). Couldn't that be the standard?

EIOPA answer

Undertakings are free to use the methodology described to identify their investments potentially exposed to transition risk.