Hi, Need yr opinion on the following thoughts of mine. What direction could equities go?
Now there could be macro concern about Japanese insurance companies claim liability , which in turn could propel selling of Euro and USA bonds which they have been picking up last one year. Its impact on asset classes? Please tell.
very difficult to write in blog.. some concerns are there. But i believe key is reinsurance claims...with whom reinsurance has been done and how those companies are going to manage...whether it is spread across asset classes or concentrated on treasury securities? if it is treasury securities, then not much impact except fall in yields as quantity will absorbed by government emergency chest. If it is other asset class, then it is question of concern as we may see some down crashes across global markets with currency volatility adding fuel.. out of context, natural disaster such as this is always out of insurance claims i believe...it needs special insurance policy wherein local government always stays as guarantor ..in such a scenario, japanese government may bail out this companies from its emergency fund... hope i make some sense..if not you can always call me.
2 comments:
Hi,
Need yr opinion on the following thoughts of mine. What direction could equities go?
Now there could be macro concern about Japanese insurance companies claim liability , which in turn could propel selling of Euro and USA bonds which they have been picking up last one year. Its impact on asset classes? Please tell.
hi alphabet1
very difficult to write in blog..
some concerns are there. But i believe key is reinsurance claims...with whom reinsurance has been done and how those companies are going to manage...whether it is spread across asset classes or concentrated on treasury securities? if it is treasury securities, then not much impact except fall in yields as quantity will absorbed by government emergency chest. If it is other asset class, then it is question of concern as we may see some down crashes across global markets with currency volatility adding fuel..
out of context, natural disaster such as this is always out of insurance claims i believe...it needs special insurance policy wherein local government always stays as guarantor ..in such a scenario, japanese government may bail out this companies from its emergency fund...
hope i make some sense..if not you can always call me.
Post a Comment