The financial services industry is an accelerator in the transition to net-zero targets, for example, with the focus on the investment portfolios of institutional investors and bank lending. Progress includes the 95 percent European bank lending having a net-zero ambition aligned with the Paris Agreement. Some 70 percent of European traded equity is managed by asset managers ... Continue Reading »
investment
September 2020 Dedicated Reinsurance Capital Update
Guy Carpenter and A.M. Best have re-issued our joint dedicated reinsurance capital estimate for September 2020 of USD 471 billion, down 2.4 percent since year-end 2019. The recent update and change is the result of additional analysis and mid-year reporting from our initial June forecast. ... Continue Reading »
How Companies Can Deal With Climate Change
As climate change and the associated increase in natural catastrophe events alters the contemporary risk landscape, there is now an opportunity for companies to partner with the (re)insurance market and put its expertise to work. Today, there is rising concern about the current climate threat among the public, some governments and the investment community, according to ... Continue Reading »
COVID-19: Insurance Implications for Financial Institutions
In times of economic distress, (re)insurance is typically considered by investors to be a defensive sector. This is not to say the sector will be unaffected by the COVID-19 crisis. Access to capital has reduced while carriers’ assets have clearly been hit by lower interest rates, wider credit spreads and an equity crash. A fall back into recession will also hinder growth ... Continue Reading »
Unlocking Inforce Value in Asia-Pacific: The USD 10 Billion Opportunity For Life Insurers
The current life reinsurance model has at best been managed passively; and at worst, has been a "set-and-forget" exercise. Notably, neither approach will fully satisfy risk management, capital management and relationship management objectives. Operationally, this approach limits insurers' ability to manage risks from a top down perspective and actively adjust the underlying ... Continue Reading »
Key Investment Ideas For Insurers For 2020 and Beyond
In times of economic distress, (re)insurance is typically considered by investors to be a defensive sector. This is not to say the sector will be unaffected by the COVID-19 crisis. Access to capital has reduced while carriers’ assets have clearly been hit by lower interest rates, wider credit spreads and an equity crash. A fall back into recession will also hinder growth ... Continue Reading »
Transformational Investment: Converting Global Systemic Risks into Sustainable Returns
The reinsurance market has established itself as a capable private partner for the public sector in recent years. Putting the capital and capabilities of the reinsurance sector to work to create new coverages and meet evolving demands from public sector entities is a crucial component for reducing disaster suffering. At a time when governments worldwide are forced to bear a ... Continue Reading »
European Healthcare Investment During COVID-19
As the initial systemic shock that COVID-19 has had across the globe begins to abate, healthcare has proven economically resilient relative to other sectors. The crisis has however fundamentally changed the short- and medium-term future healthcare landscape – impacting both the healthcare provider and life sciences industries. ... Continue Reading »
Is Coronavirus About to Cause the Next Global Financial Crisis?
The ongoing coronavirus is extracting a heavy toll on financial markets and investors’ psychological well-being. Much of the focus of headlines has been on the gut-wrenching losses in major global stock and commodity markets, disorienting spikes in equity volatility and plunges in treasury yields. But the shaky foundations of the USD 72 trillion global corporate debt market ... Continue Reading »
How Can Large Asset Owners Make the Most of Nontraditional Risks?
Asset owners and investment managers pursuing sustainable capital growth face a new world of risk. The challenges, as highlighted in the World Economic Forum’s most recent Global Risks Report, don’t fit within conventional investment theory, according to Fiona Dunsire, Wealth Leader of Growth Markets at Mercer, Peter Grant, Principal at Mercer Investments and Richard Silvan, ... Continue Reading »
