PRU A2.1.8

In calculating its net open foreign exchange positions, an Authorised Person may exclude any foreign exchange position related to:

(a) items which are included as deductions from T1 Capital or deductions from T2 Capital, such as investments in unconsolidated subsidiaries; and
(b) associated companies and joint ventures, denominated in foreign currencies, which are reported in the published accounts of an Authorised Person at historic cost.