Question ID: 730
Regulation Reference: (EU) No 2015/2450 - templates for the submission of information to the supervisory authorities
Article: 35
Status: Final
Date of submission: 25 Jul 2016
Question
Which valuation method do you expect in case of bonds, which are only/mainly OTC-traded but still highly liquid with high trading volumes and low bid/ask spreads?
EIOPA answer
It is the responsibility of the undertaking to assess if the market (e.g. a multilateral trading facility) where the OTC has high trading volumes and where the bid/ask spreads are disclosed comply with the criteria for active markets, as defined in international accounting standards adopted by the Commission in accordance with Regulation (EC) No 1606/2002.