|Bid||33.86 x 800|
|Ask||33.89 x 1000|
|Day's Range||33.81 - 33.91|
|52 Week Range||31.85 - 46.50|
|Beta (3Y Monthly)||1.05|
|PE Ratio (TTM)||14.71|
|Forward Dividend & Yield||1.26 (3.73%)|
|1y Target Est||46.20|
The Bank of England warned on Tuesday it will crack down on insurers that are overly optimistic about how much capital they need to cover growing risks from the United States and elsewhere. Gareth Truran, acting director for insurance supervision at the Bank's Prudential Regulation Authority, said the risk of reserving "deficiencies" was increasing in a sector that may be "optimistic" about its outlook. "For Lloyd's managing agents, we will continue to work closely with Lloyd's, taking into account in particular the work of Lloyd's Performance Management Directorate in approving and monitoring syndicate business plans," Truran said.
Today, we'll introduce the concept of the P/E ratio for those who are learning about investing. We'll show how you can...
The long-awaited split between Prudential Public Limited Company (NYSE: PUK) and its subsidiary M&G gives investors the option to target their investment in their preferred portion of the insurance and asset management business. Prudential will focus more on Asian markets, while the newly demerged M&G takes on a broader approach, focusing on expanding globally. In an effort to simplify operations and grow more effectively, Prudential split its business segments into two companies.
Investors who take an interest in Prudential plc (LON:PRU) should definitely note that the Group Chief Risk...
Out of thousands of stocks that are currently traded on the market, it is difficult to identify those that will really generate strong returns. Hedge funds and institutional investors spend millions of dollars on analysts with MBAs and PhDs, who are industry experts and well connected to other industry and media insiders on top of that. Individual investors can piggyback […]
Increase in profitability and industry-beating performance can be essential considerations in a stock for some...
Britain's top property investment funds have shed almost 10% of their combined assets this year as investors fret about the impact of Britain's exit from the European Union. Despite that, the FCA maintained the right for retail investors to leave such funds any day they like. Fund industry tracker Morningstar showed each of the 10 biggest open-ended property funds shed assets between January and August this year as investors pulled cash from the sector.
Investing.com -- China throws a party with ICBMs and stealth drones, while Hong Kong burns. Meanwhile, Europe's economy looks ever grimmer and Credit Suisse (SIX:CSGN) clears its CEO of wrongdoing in a spy drama. Here's what you need to know in financial markets on Tuesday, 1st October.
The following are the top stories on the business pages of British newspapers. Litigation financing company Burford Capital Ltd has launched action in the High Court seeking to obtain the identities of traders allegedly behind the manipulation of its shares during a recent short attack. French Finance Minister Bruno Le Maire has accused the French state-owned company building Britain's new nuclear plant of "unacceptable" failings as he threatened sweeping change at the group and denounced cost overruns and delays in the construction of the Hinkley Point C nuclear reactor in Somerset and similar projects in Flamanville in Normandy and Olkiluoto in Finland.
Prudential plc was fined £23.9 million ($29.4 million) by the U.K. Financial Conduct Authority over annuity sales. From July 2008 to Sept. 2017, "Prudential failed to ensure that customers were consistently informed that they may get a better deal if they shopped around and failed to take reasonable care to organise and control its affairs in breach of its obligation to ensure fair treatment of customers," the FCA said. As of Sept. 19, Prudential has offered approximately £110 million in redress to 17,240 customers. Prudential did not dispute the FCA's findings.
The Financial Conduct Authority (FCA) said it will introduce a new category of funds investing in inherently illiquid assets, or FIIA, from September 2020, confirming proposals made last October. "The new rules and guidance are designed to protect the interests of investors, particularly during stressed market conditions," said Christopher Woolard, the FCA's executive director for strategy and competition. The funds will be subject to additional requirements, including standard risk warnings in financial promotions, enhanced depositary oversight, and a requirement to produce liquidity risk contingency plans, it said.
(Bloomberg Opinion) -- Turbulent times should mean good business for insurers as people try to protect themselves against the hazards of an uncertain world. Hong Kong’s summer of unrest has proved anything but happy for shares of AIA Group Ltd., the city’s biggest seller of policies. The company may prove more resilient than investors are giving it credit for.AIA has slumped more than 16% from its July 19 peak, among the worst performers on Hong Kong’s Hang Seng Index in that period. The insurer has the third-highest weighting in the benchmark after HSBC Holdings Plc and Tencent Holdings Ltd., which have both lost less than 9% over the same time frame. AIA’s steepening decline is unusual for a stock that has mostly seen steady gains since it was spun out of American International Group Inc. after the financial crisis in 2010.Blame the Hong Kong protests. Anti-government demonstrations have led to a precipitous fall in mainland Chinese visitors to the semi-autonomous city. These tourists are an important source of business for Hong Kong insurers, whose dollar-based products offer a hedge against the falling yuan and a route outside China’s restrictive capital controls. Chinese tour groups to Hong Kong for the Golden Week holiday starting Oct. 1 are set to plunge 86% from a year earlier, Jinshan Hong and Qian Ye of Bloomberg News reported last week, citing the city’s Travel Industry Council.Policies sold to mainland visitors accounted for 26% of total new premiums received from individuals in the first six months of 2019, according to Hong Kong’s Insurance Authority. While AIA sells insurance across Asia, Hong Kong contributed 40% of its new business value in the first half, Michael Chang of CGS-CIMB Securities Ltd. reckons. Of this, mainland Chinese visitors accounted for 20%, Chang estimates.The physical presence of customers in Hong Kong is important because, unlike most financial assets, the city’s regulators require insurance to be sold face-to-face, at least to new clients. AIA, Prudential Plc and China Taiping Insurance Holdings Co., a state-controlled company based in Shanghai, are among the most reliant on mainland visitors, according to Bloomberg Intelligence analyst Steven Lam.There’s more to AIA’s China exposure than sales made in Hong Kong, though. The company’s new business value in China surged 26% in the first half to account for 29% of AIA’s total. Demand for insurance is surging in the mainland as incomes rise while health and retirement systems remain under-developed.Until recently, AIA had failed to make much headway in a market that’s dominated by state behemoths such as China Life Insurance Co., despite being the only foreign insurer allowed to operate without a partner (thanks to roots that stretch back to 1919, when AIG was founded in Shanghai). That may be starting to change as the government, under pressure from slowing economic growth, opens its financial markets further to overseas companies.This year, the government loosened regulations that restricted AIA to five geographical regions: Beijing, Shanghai, Shenzhen and the provinces of Jiangsu and Guangdong. The insurer has now moved into new provinces and started selling policies in Tianjin municipality and in the city of Shijiazhuang in Hebei province. (German insurer Allianz SE has been given the green light to set up the first wholly foreign-owned insurance holding company in the country.)In any event, the collapse in Chinese visitors to Hong Kong is likely to ease even if the protests continue. Investment-linked insurance products denominated in the Hong Kong dollar – which is pegged to the greenback – offer a perennial hard-currency allure for mainland individuals with few opportunities to diversify at home. Insurers in the city also sell policies denominated in the U.S. dollar itself. AIA’s new business value in Hong Kong jumped 19% in the first half.The slide in AIA stock has taken its price to embedded value to 1.9 times, from a peak of 2.4 times at the end of June. That’s still a premium to rivals such as Ping An Insurance (Group) Co., at 1.3 times, and China Life at 0.5 times, according to data compiled by Bloomberg. Prudential, weighed down by its exposure to the slower-growing U.K. market, trades at 0.7 times embedded value. Still, 19 of 22 analysts tracked by Bloomberg rate AIA stock a buy, with only one sell recommendation.This slump looks to have limits. To contact the author of this story: Nisha Gopalan at firstname.lastname@example.orgTo contact the editor responsible for this story: Matthew Brooker at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Nisha Gopalan is a Bloomberg Opinion columnist covering deals and banking. She previously worked for the Wall Street Journal and Dow Jones as an editor and a reporter.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
Prudential will spin off its UK and European insurance and asset management business M&G in October, Britain's largest insurer said in a prospectus published on Wednesday, dividing the insurance giant into two large-cap stocks. Prudential, founded in 1848 to provide loans to professional workers, announced the plan to hive off its UK arm last year. The split follows a trend among insurance and asset management businesses such as Old Mutual and Standard Life Aberdeen to break up and simplify their operations.