Insurers’ assets and COVID-19

Not a single day passes without some new market revelation. Insurers are battening down the hatches but how bad is it and what damage has there been so far? Help us determine how you see the current crisis by taking a short survey (no more than 5 minutes). Please answer by Wednesday 25 March 12pmBST.

Your answers will be anonymous. Any questions feel free to get in touch with Insurance Asset Risk’ editor: Vincent Huck at Vincent.huck@insuranceassetrisk.com

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* 1. How prepared do you feel insurers' investment functions were to weather the kind of turbulence we witnessed in Q1 of 2020?

Completely prepared

Prepared in allocation but not in hedging

Insufficiently skilled in navigating such high volatility

Totally unprepared

Other (please specify)

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* 2. Do you feel your insurers' expectations, modelling and scenario analysis were adequately set up to prepare them for such an event?

Yes

Please explain

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* 3. Which portion of insurers' portfolio, or aspects of their design, causes the most concern in light of the market slump?

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* 4. Which asset class should insurers be more concerned about? (Rank from 1 being the most concerning)

	1	2	3	4	5	6	7	8
Government bonds (OECD nations)	Government bonds (OECD nations) 1	Government bonds (OECD nations) 2	Government bonds (OECD nations) 3	Government bonds (OECD nations) 4	Government bonds (OECD nations) 5	Government bonds (OECD nations) 6	Government bonds (OECD nations) 7	Government bonds (OECD nations) 8
EM Government Bonds	EM Government Bonds 1	EM Government Bonds 2	EM Government Bonds 3	EM Government Bonds 4	EM Government Bonds 5	EM Government Bonds 6	EM Government Bonds 7	EM Government Bonds 8
High grade corporate bonds	High grade corporate bonds 1	High grade corporate bonds 2	High grade corporate bonds 3	High grade corporate bonds 4	High grade corporate bonds 5	High grade corporate bonds 6	High grade corporate bonds 7	High grade corporate bonds 8
High yield corporate bonds	High yield corporate bonds 1	High yield corporate bonds 2	High yield corporate bonds 3	High yield corporate bonds 4	High yield corporate bonds 5	High yield corporate bonds 6	High yield corporate bonds 7	High yield corporate bonds 8
Equity	Equity 1	Equity 2	Equity 3	Equity 4	Equity 5	Equity 6	Equity 7	Equity 8
Property	Property 1	Property 2	Property 3	Property 4	Property 5	Property 6	Property 7	Property 8
Infrastructure	Infrastructure 1	Infrastructure 2	Infrastructure 3	Infrastructure 4	Infrastructure 5	Infrastructure 6	Infrastructure 7	Infrastructure 8
Funds	Funds 1	Funds 2	Funds 3	Funds 4	Funds 5	Funds 6	Funds 7	Funds 8

Other (please specify)

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* 5. What is the primarily concern?

	Continued role in the portfolio?	Asset value	Credit worthiness
Government bonds (OECD nations)	Government bonds (OECD nations) Continued role in the portfolio?	Government bonds (OECD nations) Asset value	Government bonds (OECD nations) Credit worthiness
EM Government Bonds	EM Government Bonds Continued role in the portfolio?	EM Government Bonds Asset value	EM Government Bonds Credit worthiness
High grade corporate bonds	High grade corporate bonds Continued role in the portfolio?	High grade corporate bonds Asset value	High grade corporate bonds Credit worthiness
High yield corporate bonds	High yield corporate bonds Continued role in the portfolio?	High yield corporate bonds Asset value	High yield corporate bonds Credit worthiness
Equity	Equity Continued role in the portfolio?	Equity Asset value	Equity Credit worthiness
Property	Property Continued role in the portfolio?	Property Asset value	Property Credit worthiness
Infrastructure	Infrastructure Continued role in the portfolio?	Infrastructure Asset value	Infrastructure Credit worthiness
Funds	Funds Continued role in the portfolio?	Funds Asset value	Funds Credit worthiness

Other (please specify)

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* 6. Are you rethinking allocation in the wake of the fall in markets?

Yes

Not yet but close to doing so

n/a

Add a comment

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* 7. Which, if any, market stressors presented in your solvency and financial condition report might you modify as a result of Q1 market fluctuations?

	Very likely	Likely	Unlikely	Very unlikely
Equity shocks	Equity shocks Very likely	Equity shocks Likely	Equity shocks Unlikely	Equity shocks Very unlikely
Sovereign bond spreads	Sovereign bond spreads Very likely	Sovereign bond spreads Likely	Sovereign bond spreads Unlikely	Sovereign bond spreads Very unlikely
Corporate bond spreads	Corporate bond spreads Very likely	Corporate bond spreads Likely	Corporate bond spreads Unlikely	Corporate bond spreads Very unlikely
Property price moves	Property price moves Very likely	Property price moves Likely	Property price moves Unlikely	Property price moves Very unlikely
FX	FX Very likely	FX Likely	FX Unlikely	FX Very unlikely

Other (please specify)

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* 8. In light of the current falls across financial markets, which of the following investment strategies have served insurers best?

Derivatives-based hedging

Diversification by asset class

Diversification by geography

Smart beta / alternative beta strategies

Other (please specify)

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* 9. In light of the current falls across financial markets, which of the following investment strategies insurers should consider using more in future?

Derivatives-based hedging

Diversification by asset class

Diversification by geography

Smart beta / alternative beta strategies

Other (please specify)

Your answers will be treated anonymously but the below information will help us inform the profile pool of respondents to the survey

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* 10. You work at

A life insurer

Non-life insurer

Composite insurer

An asset manager affiliated to an insurer

A third party asset manager

Consultancy

Regulator

Rating agency

Other (please specify)

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* 11. What is your firm's Aum?

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* 12. Your job title

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* 13. Can we contact you to discuss your answers

Yes

If yes please provide contact details here: