»Ê¹ÚÌåÓýapp

»Ê¹ÚÌåÓýapp term shareholder fund was used in the past to describe assets that historically were held by a life insurance company outside the ring fenced regulatory long-term insurance fund. »Ê¹ÚÌåÓýappse assets were returned in Form 13 of the regulatory return as ‘assets other than those of the long-term businessâ€�, notwithstanding that those assets were available to back the long-term business.

Under the current prudential regulatory regime and Solvency II, there is no concept of a separate long-term insurance fund. In the regulatory returns all the assets are held to back the long-term business of the company. »Ê¹ÚÌåÓýapp concept of a ‘shareholder fundâ€� of assets not within the long-term insurance fund has no tax relevance.

This part of the transitional provisions deals with how these historical shareholder fund assets are to be treated on transition to the new regime. This is covered in more detail at LAM11050.