We are looking at the currency translation at group reporting for S23.03. This templates reports at a opening and closing balance with movements between. It is not clear how the effect for FX translation over the open to close period shall be reported where there has been currency translation of specific solo entities to the group currency. Please consider the example below:
S.23.03

This template details the “flows” or “movements” from Opening Balance to Closing Balance of a selection of Own Funds accounts. At Solo level, no problems. But at a translated level, how do we report the Foreign Exchange effect on the flows?

So for example:
Beginning Exchange Rate:            4
Average Exchange Rate:               5
Ending Exchange Rate:                  6

Un-translated:
Opening Balance:                             100
Movements:                                      50
Closing Balance:                                150

Translated:
Opening Balance:                             400         (100 * 4)
Movements:                                      250         (50 * 5)
Closing Balance:                                900         (150 * 6)

It doesn’t balance (i.e. Opening + Movements ¹ Closing Balance). Does EIOPA expect it to balance?

From an accounting perspective there is a Foreign Exchange Effect movement:
(Opening Balance * Closing Rate) – (Opening Balance * Opening Rate) + (Movements * Closing Rate) – (Movements * Average Rate)
100 * 6 -100* 4 + 50 * 6 – 50 * 5 = 600 – 400 + 300 – 250 = 250

Translated:
Opening Balance:                             400         (100 * 4)
Movements:                                      250         (50 * 5)
FX Effect                                              250
Closing Balance:                                900         (150 * 6)

Now it balances.
But where do we report the FX Effect? There is nowhere in the template to include this entry

The only way we can balance without an FX entry is to translate Opening Balance and Movements at Closing Rate. But if we do that, then the Opening Balance next year will NOT equal the Closing Balance of this year.