Catlin is hobbled by worries over Fed’s take on stimulating recovery
Saturday 10 August 2013
Uncertainty over the US Federal Reserve’s money-printing programme hit profits at Catlin during the first half of the year.
The Lloyd’s of London insurer said higher borrowing costs across the pond had impacted the value of its fixed-income portfolio and ruined an otherwise strong underwriting performance.
The company, which operates the largest syndicate in Lloyd’s, saw pre-tax profits tumble to $145m (£93m), compared with $231m a year earlier, after its net investment return dropped to $9m from $83m. “If we’d had the right interest rate environment these would have been a stonking set of results,” the chief executive Stephen Catlin said.
“However, Catlin’s investment returns will ultimately benefit from higher interest rates.”
Despite this, the group posted an impressive combined ratio of 88.9 per cent. This measures underwriting profitability with figures below 100 per cent reflecting a profit.
- 3 Make your voice heard: Sign The Independent's petition to welcome refugees
- 4 Refugee crisis: Aylan's life was full of fear - in death, he is part of 'humanity washed ashore'
- 5 German police forced to ask public to stop bringing donations for refugees arriving by train
Senior British politicians tell David Cameron: When dead children are being washed up on beaches – it's time to act
Jeremy Corbyn calls Osama bin Laden's killing a 'tragedy' - but was it taken out of context?
If these extraordinarily powerful images of a dead Syrian child washed up on a beach don't change Europe's attitude to refugees, what will?
Britain to take more refugees as Cameron bows to pressure after more than 100,000 back our campaign
If you're not already angry about the refugee crisis, here's a history lesson to remind you why you really should be
Theresa May says migrants should be banned from entering the UK unless they have jobs lined up
iJobs Money & Business
£20000 - £40000 per annum + OTE + Incentives + Benefits: SThree: Established f...
£20000 - £25000 per annum + OTE 40/45k + INCENTIVES + BENEFITS: SThree: The su...
£14000 - £16000 per annum: Recruitment Genius: This company was established in...
£20000 - £25000 per annum + OTE 40k: SThree: SThree are a global FTSE 250 busi...