Life insurance companies pay more attention to the return on investment because of the long repayment period and low liquidity requirements.
In the United States, bonds and interest rate products of life insurance companies account for about 2/3, and stocks account for about 30%, and the proportion is relatively stable. Other investments include money market funds, real estate and other assets.
When choosing bonds and interest rate products, corporate bonds and mortgage-backed securities with better yields are preferred, and others include government bonds and municipal bonds. The average credit rating of life insurance company's portfolio is BBB now, and it used to be A. The main reason for this change is that A-class securities are difficult to meet the requirements of life insurance companies for return on net assets.
Property insurance/accident insurance companies have very high liquidity requirements because of the short repayment period. Property insurance and accident insurance are basically similar in configuration. Bonds and interest rates account for about two-thirds of all assets, stocks account for almost 20% of investment, and the rest are other assets, such as repurchase agreements and accounts receivable transactions.
When choosing bonds and interest rate products, give priority to government bonds, institutional bonds and municipal bonds with a maturity of 2-3 years. Take American property insurance/accident insurance companies in 2004 as an example. In its bond interest rate portfolio, corporate bonds and foreign bonds account for about 35%, municipal bonds account for 37%, institutional bonds account for 65,438+08%, national bonds account for 65,438+00%, and there are a few other mortgage-backed securities.