Prudential Regulation Authority Rulebook

8.1

Except where the contrary is expressly stated in this Part, whenever a rule refers to shares held in an affiliated company referred to in 3.4(1) or (3), a firm must value the shares held as the sum of:

1. (1) the regulatory surplus value of that undertaking; less
2. (2) the sum of:
1. (a) the book value of the investments by the firm and its affiliated companies in the tier two capital resources of the undertaking; and
2. (b) if the undertaking is an insurance undertaking, any restricted assets of the undertaking.

8.2

A firm must value shares held in an ancillary services undertaking in accordance with 3.1.