Business
DelphX Receives RTAS Letter from the National Association of Insurance Commissioners; Completes Important Regulatory Requirement; Company in Due Diligence with Leading Wall Street Dealers
Toronto, Ontario--(Newsfile Corp. - October 31, 2022) - DelphX Capital Markets Inc. (TSXV: ...
About this update from Delphx Capital Markets, Inc.
[{"type":"text","content":"DelphX Receives RTAS Letter from the National Association of Insurance Commissioners; Completes Important Regulatory Requirement; Company in Due Diligence with Leading Wall Street DealersToronto, Ontario--(Newsfile Corp. - October 31, 2022) - DelphX Capital Markets Inc. (TSXV: DELX) (OTCQB: DPXCF) (\"DelphX\"), a leader in the development of new classes of structured products for the fixed income market, announced today that it has received an important Regulatory Treatment Analysis Service (RTAS) letter from the National Association of Insurance Commissioners (NAIC). The NAIC is the authoritative source for insurance industry information and provides data and other resources to support the efforts of regulators, insurers and researchers. The NAIC plays an essential role in helping insurance commissioners effectively regulate the industry and protect consumers.The opinion given by the NAIC's Securities Valuation Office (SVO) at the end of the RTAS assignment addresses key areas of regulatory treatment including: statutory accounting; risk-based capital; valuation and reporting. The RTAS process permits insurance companies and other entities to ascertain the analytical position the SVO would take (or the recommendations it would make to regulators) with respect to credit, and other investment risks embedded in a security and the related regulatory accounting and reporting treatment. The NAIC assigned a designation of NAIC 1.F to the CRN DelphX issued in its first issuance earlier in the year. As a point of reference, the NAIC \"1.F\" rating is the equivalent of an A rating from Fitch, S&P, and other rating agencies. The NAIC scale runs from NAIC-1 (lowest risk) to NAIC-6 (highest risk). This correlates with the rating of the reference bond used in the issuance.\"Institutional fixed-income managers require an RTAS assessment as a general rule, but particularly in cases such as ours, as we are issuing new types of securities not previously seen in the marketplace,\" explained DelphX CEO Patrick Wood. \"A number of important potential customers have been waiting on this RTAS, so we can now move forward in our discussions with these key prospects. Any company that has built a new financial marketplace knows that checking every regulatory box is a long, detailed process - and our business development timeline is a testament to tha...