Just Group interim out today, with an upbeat commentary that pleased the analysts. Who are easily pleased, it seems.
- Solvency Coverage is up to 145% from 141%, but as they say this figure allows for a notional recalculation of TMTP as at 30 June 2020, and without it the SCR would have fallen to 123%, see p.61.
- Page 8 shows that the TMTP (a regulatory asset that bolsters a firm’s balance sheet) increased from £1,891m to £2,201m). There is no explanation for the increase that I can find in the report.
- They claim that “movements in the financial markets have had limited impact to date on the Group’s capital position”, but then perversely note that credit downgrades have affected over 16% of the Group’s corporate bond portfolio.1