@MikeOtsuka @FirstActuarial Agreed that this picture is terrible! It doesn't seem to accurately reflect what's going on at all, and confused me into thinking that Test 1 worked in a different way to how it does. 1/
@MikeOtsuka @FirstActuarial I disagree. Once you've fixed the technical provisions at 112.5bn and figured out which discount rate values the liabilities at that number, it's another paper exercise to work out which mix of bonds, equities, properties etc deliver those returns on a prudent basis. 3/
@MikeOtsuka @FirstActuarial You don't need to know anything about how much extra cash you've actually asked for at this point. 4/4
