in relation to the Market Consistent Embedded Value basis
supplementary information
The directors of Old Mutual plc have chosen to prepare
supplementary information on a Market Consistent Embedded Value
(MCEV) basis.
Old Mutual's methodology adopts the Market Consistent Embedded
Value Principles (Copyright © Stichting CFO Forum Foundation 2008)
issued in June 2008 and updated in October 2009 by the CFO Forum
('the Principles') as the basis for the methodology. The Principles
have been fully complied with at 31 December 2010 for all
businesses.
In preparing the MCEV supplementary information, the directors
have:
- prepared the supplementary information in accordance with the
methodology described above and the basis of preparation as set out
in the Notes to
the MCEV Basis Supplementary Information;
- identified and described the business covered by the MCEV
methodology;
- applied the MCEV methodology consistently to the covered
business;
- determined assumptions on a market consistent basis and
operating assumptions on a best estimate entity specific basis,
having regard to past, current and expected future experience and
to any relevant external data, and then applied them consistently;
and
- where relevant, made estimates that are reasonable and
consistent.
