EIOPA failed to plan for 'negative' holistic balance sheet result
EUROPE - The European Insurance and Occupational Pensions Authority (EIOPA) has neglected to plan for a "negative" result for the quantitative impact study (QIS) on the proposed 'holistic balance sheet' (HBS) approach, according to PGGM.
Speaking at the Pan-European Pensions conference in Amsterdam yesterday, Niels Kortleve, innovation manager at PGGM, said EIOPA, in its consultation process on the QIS launched earlier this month, had missed the opportunity to evaluate the possible negative effects additional capital requirements could have on the pension fund industry.
"What seems to be missing from the QIS is how EIOPA will react if the study on the capital requirements reveals a deep impact on occupational pensions," Kortleve said.
"If those elements do not appear in the consultation process, the European Commission will be unable to consider the QIS properly."
Kortleve commented on the consultation process after EIOPA chairman Gabriel Bernardino confirmed the timetable for the introduction of the revised IORP Directive.
Following the current public consultation process on the QIS - which will end on 31 July - EIOPA will review all the responses provided by the industry and forward them to the European Commission between the end of September and the beginning of October.
The Commission must then approve EIOPA's methodology before the authority can launch the formal QIS.
The QIS exercise is expected to take place between the beginning of October and mid-December.
Bernardino said: "We hope to collect the first results of the QIS at the beginning of February in order to publish our conclusions and send them to the Commission shortly after."
Earlier this month, the commissioner for the internal market, Michel Barnier, confirmed a delay in the publication of a draft revised IORP Directive, which was initially expected by year-end.
The Commission now expects to introduce the draft directive in the summer of 2013.