Aims and Perspectives of Insurance Company Investments

DOI

10.2991/iscfec-19.2019.20How to use a DOI?

Keywords

Insurance Company Investments, fiduciary management of invest-ment reserves.

Abstract

The article examines the perspectives and aims of Russian insurance companies’ investment activities. Investment is not the principal activity for such companies, yet it plays an important role by allowing them to acquire additional income and affecting financial markets. Investment activity is limited by The Bank of Russia’s requirements and has to adhere to the principle of repayment, liquidity and diversification. Although insurance companies are interested in high profitability, they have to comply with the demands of the megaregulator. The article provides the analysis of the investment portfolio of insurance companies and the efficiency of investment activities. The calculations have shown that insurance companies have sufficient investment income, which keeps pace with inflation. In order to justify the perspec-tives of investment activities, we have analyzed the dynamics of sources investment activities (equity and debt capital), concentra-tion of capital, the interaction between insurance and banking market, dynamics of insurance premium, including long-term life insurance. The analysis have shown that Russian insurers have positive perspectives and opportunities, with their primary aims of investment activities being further investment in the banking sector (less profitable, but lower risks) and transfer of a part of insurance reserves to fiduciary management, which has higher risks and profits.

Copyright

© 2019, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - O.N. Kozlova
AU  - E.A. Kalacheva
AU  - I.V. Kalacheva
PY  - 2019/05
DA  - 2019/05
TI  - Aims and Perspectives of Insurance Company Investments
BT  - Proceedings of the International Science and Technology Conference "FarEastСon" (ISCFEC 2019)
PB  - Atlantis Press
SP  - 76
EP  - 79
SN  - 2352-5428
UR  - https://doi.org/10.2991/iscfec-19.2019.20
DO  - 10.2991/iscfec-19.2019.20
ID  - Kozlova2019/05
ER  -