Hints and tips:
...The European Central Bank and Bank of England have refused to declare victory over inflation....
...The third thing is that annuity sales have gone up for life insurance companies. Remember that when rates go up, annuities pay a higher return....
...C-suite Life Which finance industry tycoon helped bankroll Maroon 5’s first record? What generation of Johnson to run Fidelity is Abigail Johnson?...
...We lack the social insurance of large gas stocks. Uncertainty about the wisdom of policymakers will persist after the [Liz] Truss experiment....
...Sampo should be a “dividend-focused P&C [property & casualty] insurer with no material M&A ambitions outside the Nordics until the Hastings deal proves successful”, Elliott said....
...New frontiers: Blackstone has backed the digital revolution in the Lloyd’s of London insurance market, putting money into a $500m investment round in Ki, a digital-only syndicate, reports Insurance Insider...
...That was the day that Mark Carney, the Canadian-born former governor of the Bank of England, gave a speech to a stuffy dinner at Lloyd’s insurance market in London....
...to raise c€2.75bn....
...Regionally, N. Europe continued to perform well with pleasing recovery in S Europe & E Europe since May. In N....
...through the P&L....
...It also has access to the Bank of England’s CCFF facility in case it needs it. Exceptional charges are £309mn including an inventory provision for Primark of £284mn (c.4% of last year’s sales)....
...more of a primary event), UK P&C (~14% of premium), and then the multilines (~10%)....
...at the ‘C-suite’....
...Our insurance team’s favorite life companies are Prudential and ASR We remain overweight of P&C Defensive: The sector should be agnostic to the cycle (having no correlation with HY spreads and PMIs) yet...
...Here’s UBS: Potential direct impact to the sector remains limited For P&C, we anticipate there will be losses on travel insurance and contingency....
...However, it also guided to net E&C margins (E&C is ~75% of revenues) of only 2.0-2.25% versus our prior forecast of 4.7% and a ‘normal’ expectation of 5-6%....
...Investec turns buyer on Royal Bank of Scotland: The UK Government chose to acquire 84.4% of RBS during 2008/9 at c.£5 per share....
...Banks could rebound with PMIs, but we remain MW. More provisioning is likely ahead, peripheral spreads are volatile and dovish ECB may cap the rebound in bond yields. We prefer Insurance (OW)....
...Short mine life at just 13 years for Kumba is a key risk for its long term value proposition relative to average mine life of over 50 years for big-4 iron ore miners....
...We expect EPS to fall c.40% YoY. We think the revenue growth outlook for Europe is as bad as the GFC, N. America could fare slightly better. Preference for FCF, superior ROIC in challenging macro....
...Bank of America’s insurance 2020 note upgrades Legal & General, 345p target. L&G’s scale’s underappreciated, with Investment Management solid and Retirement near critical mass, it says....
...It also compares to listed peers such as Rathbones on c.15x P/E and SJP (a higher quality business in our view) on c.19x P/E....
...Deutsche Bank welcomes Capital Group as a 3.1 per cent shareholder. ... “PartnerRe [is] up for sale as Exor cools on sector” reports Insurance Insider. ... InBev confirms CFO exit. .....
...We think the threat of insurtech disruption to life and retail P&C insurers may be greater than for commercial P&C (re)insurers given the more complex nature of commercial risks, fewer threats from non-insurance...
...The ONS estimates the value of land and assets-over-land to be over £5tn compared to a GDP of c£2tn....
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