On 26 April, EIOPA published a Call for Evidence in relation to a request by the European Commission to EIOPA for technical advice on the treatment of unlisted equity and debt without an ECAI rating in the standard formula.
In its final advice, EIOPA is to provide clear criteria for unrated debt to help distinguish instruments with a lower risk profile. Similarly, it will provide criteria applicable to portfolios of EEA unlisted equity to identify instruments that could apply the same risk factors as listed equity. The criteria could be related to the characteristics of the portfolio, including diversification and transparency.
The Call for Advice contains a list of questions to stakeholders, the answer to which will inform EIOPA's advice. Stakeholders who wish to comment must send their comments to EIOPA in the prescribed Template for Comments by 24 May 2017. EIOPA intends to deliver its final advice by the end of February 2018.
A link to EIOPA's Call for Evidence is here.
A link to the Template for Comments is here.