We take a look at managing the pool of assets backing future profits, and what challenges and opportunities lie ahead with IFRS17 coming into effect. We find that there is opportunity to optimise returns and manage profit volatility, as well as a strong case for centrally managing these funds with guidance from top-down trade-off framework.
When IFRS17 comes into effect for life insurers, there will be a material change in the liability valuation standards, and hence on the balance sheet. We take a look at how this can impact the value of a life insurance company, and how to manage these impacts.
