Document ID: chunk:federal_register_of_legislation:F2023L00316:body:0:p6
Version: federal_register_of_legislation:F2023L00316
Segment Type: other
Provision Reference: 
Character Range: 14637–16300

an underlying asset at a pre-agreed price, on or before a specific future date.

   2.4. Written option positions

A sold, or written, option includes both put and call options that have been sold by an entity. It obliges the selling entity to buy or sell a specific amount of equity securities at a pre-agreed price, on or before a specific future date.

   2.5. Credit derivatives - bought protection

This refers to credit derivatives that have been purchased by the life company.

Credit derivatives enable users to transfer the credit risk of an underlying asset from one party, the protection buyer, to another, the protection seller, in isolation from other risks.

   2.6. Credit derivatives - sold protection

This refers to credit derivatives that have been sold, or written, by the life company.

   2.7. Other

This is the totality of all other over-the-counter derivative financial instruments not categorised above.

It is calculated automatically as item 2 less the sum of items 2.1 to 2.6.

  3.     Total derivatives

This is the total value of derivatives across all contract types.  It is calculated automatically as the sum of items 1 and 2.

   3.1. Parent entity

This is the total value of derivatives where the counterparty is the parent entity.

   3.2. Controlled entities

This is the total value of derivatives where the counterparty is a controlled entity.

   3.3. Associates / joint ventures

This is the total value of derivatives where the counterparty is an associate or joint venture.

   3.4. Other related parties

This is the total value of derivatives where the counterparty is any other related parties.