The prolonged ‘lower for longer’ interest rate environment has hurt insurers' returns; the search for yield is now at the forefront of their investment strategies. Certain assets which would have been considered too risky under rigid Solvency II regulations are now becoming more attractive as companies change business plans to maximise returns.
European insurers are considering boosting allocations to risky fixed income investments and illiquid alternatives. Does this open up more opportunities for non- captive asset managers? As companies steer towards real assets, what strategies can be used to diversify asset allocation successfully? What type of assets should investors be focusing on in order to manage capital and diversify?
With regulatory challenges and new capital rules are insurers still getting used to Solvency II? What risks do these alternative assets hold, especially in the light of Brexit? To what extent does the new US administration's return to higher interest rates affect insurers long term strategy?
Financial Times Live and MandateWire present the Managing Assets for Insurers half day conference. With the UK’s vote to leave the EU cementing the idea that interest rates will stay low in the long-term, the agenda shall explore the search for yield and the challenges and opportunities that arise. Industry experts will provide crucial insights into diversifying portfolios, asset allocation and how insurers can move forward in a volatile economic landscape.