Abstract
The paper deals with the impact of low interest rate environment on the insurance companies' portfolio composition in EU countries. The aim of the research is to show that continuously low interest rates could influence insurance companies to become more exposed to risky asset classes, but there is also possibility that insurance companies remain mainly exposed to fixed income assets. The secondary data analysis is carried out to further examine the potential portfolio dynamics in Q4 2017-Q4 2021 period. The results of the analysis show that in most EU countries insurance companies remain invested in fixed-income assets. However, in eight countries (mostly Nordic countries) insurance companies have become significantly more exposed to equity and equity mutual funds, which suggests that portfolio reshaping has taken place in these countries.
Publisher
Centre for Evaluation in Education and Science (CEON/CEES)
Reference26 articles.
1. Babbel, D. F. (2001). Asset/liability management for insurers in the New Era: focus on value. The Journal of Risk Finance, 3(1), 9-17. Doi: https://doi.org/10.1108/eb043479;
2. EIOPA (2021a). Financial Stability Report -July 2021. European Insurance and Occupational Pensions Authority;
3. EIOPA (2021b). European Insurance Overview 2021. EIOPA(2021)0046693;
4. EIOPA (2022). Insurance statistics -Asset Exposures. Available at https://www.eiopa.europa.eu/tools-and-data/statistics-and-risk-dashboards/insurancestatistics_en;
5. European Central Bank (2015). Financial Stability Review 2015. November 2015;
Cited by
1 articles.
订阅此论文施引文献
订阅此论文施引文献，注册后可以免费订阅5篇论文的施引文献，订阅后可以查看论文全部施引文献