InsurerCIO Newsletter: A Complimentary Membership Benefit
Corporate Credit Risk Improving in 2021
via S&P Global

Per S&P Global, BBB fallen angels expected to decline sharply this year.

"The number of potential fallen angels (issuers at risk of downgrade to speculative-grade), and the debt they represent, continues to fall as the economic recovery takes hold and COVID-19 vaccinations roll out."
U.S. Insurers and Private Equity Investments
by Jennifer Johnson of the NAIC
"The trend with PE firms acquiring U.S. insurers has been due in part to the low interest rate environment, whereby both sides sought benefits: PE firms taking on an additional, steady source of premium income from the insurers, and U.S. insurers’ investment portfolios potentially achieving higher investment returns and improved access to capital and asset sourcing."
What is Sustainable/Responsible Investing for Insurers and Risk Pools?
While many institutions/organizations have taken significant steps towards addressing ESG goals, others have not started or are earlier in the process.

This overview is meant to broadly summarize the ESG movement to date and provide insurance company and risk pooling Board Members and Executive Staff a blueprint for conversation as well as considerations for implementation.
The Greening of Insurance Asset Management
via A.M. Best TV

"Insurance and investment experts explore how insurers of all sizes can better meet emerging guidelines without sacrificing business objectives."
Q1: Insurer Investment Review

On the investment front, the ongoing challenge to insurers/risk pools remains relatively low “nominal” yields and negative “real” yields across much of the investment-grade fixed income markets for the foreseeable future.
How Lower for Longer Rates Can Ultimately Backfire
by William White of The Institute for New Economic Thinking

How lower for longer rates can ultimately backfire AND why the problem we are fighting isn’t potential runaway inflation but potential deflation. Fascinating research from William White, ex-BIS economic adviser.
Q&A: Three Main Trends Influencing Insurer Investments
by Sara Benwell of Insurance Investor
"While we don't expect to have a new crisis this year, it will be tough to maintain global exposure to risk assets to maintain current income whilst also remaining cautious and dealing with interest rates in the US, inflation fears and expensive valuations in many areas."
Website Update: We've Added a New Insights Page!
To make our site more useful to members, we've added a new insights page to help categorize the resources we provide by subject and date in a single, stand-alone platform.

We hope this simplified view helps you find materials of interest and makes navigation much easier.

Please let us know if you have any questions or feedback.
Disclaimer: The information contained herein has been obtained from sources believed to be reliable, but the accuracy of information cannot be guaranteed.