Fall 2017 #17
Part a) asks to calculate the RBC ratio, but they don't seem to factor in the operational risk charge at the end. I don't see any explanation for why it should be left out. Can you explain why?
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Part a) asks to calculate the RBC ratio, but they don't seem to factor in the operational risk charge at the end. I don't see any explanation for why it should be left out. Can you explain why?
Comments
Nevermind, I see in the Battle Table that it was using the "old" RBC formula
To make this clearer, I added a footnote to the Battle Table that links to the updated solution in the wiki. Thanks.
Here's a link to the Battle Table with the updated footnote: (then scroll down to the bottom to see the footnotes.)
Here's a direct link to the updated solution: