Forum Archive Index - January 2001

["G Stolwyk" <stolwyk@wave.co.nz>]

 

 

Peter,

 

I like your sense of humour expressed in your first message.Re: QBE < www.qbe.com.au >:

 

Your latest reading still fits in with my post of Jan 8: I referred to their London operations "considering the heavy storms and floods"

 

Fortunately, they tend to reinsure with A1 grade companies at a profit.

Insurance premiums must rise and where the frequency of disasters is high, they may decline to insure. 

 

In the US the situation is somewhat different and they certainly had a lot of disasters. However, as interest rates come down, so will be their investment income.

I think that they were also very exposed to the heavy falls of stocks. We have a triple 'disaster', here!!

 

QBE mentioned that much of their investments in equities ( shares ) had been sold at good prices and they have substantially reduced their risk profile.

They reinvested in bonds and should have done well as interests came down.  

 

I consider QBE to be a very smart operator e g. their London operations are partly financed by syndicate managers.

 

Their financial year finishes on Dec 31, their announcement will be on March 14. We shall have to wait till then!

 

Thanks for your latest views on QBE,

 

Gerry