European embedded value

But if each person has a different opinion on how things will turn out, you could expect a range of inconsistent estimates of the worth of the company.

The CFO Forum was formed to consider general issues relevant to measuring the value of insurance companies.

The EEV was the output of this forum, and allows greater consistency in the such calculations, making them more useful.

Using company-level economic models clearly reflects a top-down approach to determining the risk discount rate.

Although initially there was an equal use of these two types of EEV, as time passes companies appear to be moving towards the market-consistent approach.