Insurance companies stand poised to combat the challenges of persistently low interest rates, tight investment grade credit spreads, and economic uncertainty by taking advantage of opportunities in public and private credit markets. Mary Anne Guediguian, account manager in the financial institutions group, Chitrang Purani, portfolio manager in the financial institutions group, and Christian Stracke, global head of credit research, discuss trends identified by PIMCO’s Secular Outlook, “Escalating Disruption,” and their investment implications for insurance companies. PIMCO’s base-case outlook for low rates and more volatility, coupled with tight current valuations, requires insurers to be nimble and ready to diversify their credit exposures in the pursuit of stable risk-adjusted income to support policyholder liabilities. Q: Persistently low interest rates have created significant challenges for insurance companies. How has this affected insurance company risk-taking? To Read the Full Article Log In Or Register
Viewpoints Trading Geopolitics: The Long View on Growing U.S.-China Tensions Economic and financial ties between the world's two biggest economies are increasingly fraying. We discuss the long-term outlook and implications for investors.
Blog Agency MBS: Opportunities for Alpha in a Post‑QE World Agency mortgage-backed securities (MBS) have faced unique challenges in 2022, but these challenges also create attractive new opportunities for active management.
Blog What China’s Recovering Supply Chain Means for Global Inflation Renewed growth in China’s manufacturing activity, coupled with softening developed market demand, should ease some supply-side pressures – but several other inflation risks remain prevalent.