... pro-cyclicality. o 8 respondents comment that the discount rate to be adopted should be market risk free rate plus adjustments (e.g. illiquidity premium), rather than making reference to historical yields. o 2 respondents consider that the proposed use of market-referenced rate might lead to inconsistency between...
https://www.ia.org.hk/english/infocenter/files/rbc_consultation_conclusions.pdf -
Date: 2019-09-03