Life insurance stocks | General financial discussion | Discussion forum

Please consider registering
guest

sp_LogInOut Log In sp_Registration Register

Register | Lost password?
Advanced Search

— Forum Scope —




— Match —





— Forum Options —





Minimum search word length is 3 characters - maximum search word length is 84 characters

sp_Feed Topic RSS sp_TopicIcon
Life insurance stocks
March 19, 2020
7:27 pm
Bud
Member
Members
Forum Posts: 1077
Member Since:
February 20, 2018
sp_UserOfflineSmall Offline

What makes these things tick currently selling low the big 3 Manulife Sunlife Great-West
They do better in rising asset value environment e.g. stock market. How bout interest rates are they as sensitive as the banks?

March 20, 2020
4:25 am
savemoresaveoften
Member
Members
Forum Posts: 285
Member Since:
March 30, 2017
sp_UserOfflineSmall Offline

I believe rates sensitivities are even bigger for insurance companies than banks due to the the expected liabilities they need to discount to PV. With lower rates, the PV of the liabilities is huge (think of a pension plan) and that seriously affect their capital (ability to do new business), liquidity, etc

Please write your comments in the forum.