Duration reading
The MCT article references duration but says that the syllabus reading on it has been removed. Isn't this covered under CIA.Duration which is still on the syllabus?
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The MCT article references duration but says that the syllabus reading on it has been removed. Isn't this covered under CIA.Duration which is still on the syllabus?
Comments
@graham thoughts on this? On my side I just think you should know how to calculate duration for the capital required for interest risk. Don't think there is much beyond that
Yeah, that was another case where one reading (premium liabilities) was removed, but another related reading (CIA.Duration) was not removed. There is a bunch of stuff in the duration reading that is no longer relevant given the transition to IFRS 17. So @Staff-T1 is correct - you should only need to know the duration for assets and liabilities for interest rate risk in MCT and this is covered in the MCT article.
(In the wiki, I had said it was removed, but I was getting it confused with the original reading on discounting which was removed and then replaced by a totally different reading but with the same name.)