Banks

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Capital Markets, Financial

BGC Partners eyes new platform to trade US Treasuries

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Financial

Sales in Rocket Internet’s portfolio companies rise 30%

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Currencies

Renminbi strengthens further despite gains by dollar

The renminbi on track for a fourth day of firming against the dollar on Wednesday after China’s central bank once again pushed the currency’s trading band (marginally) stronger. The onshore exchange rate (CNY) for the reniminbi was 0.28 per cent stronger at Rmb6.8855 in afternoon trade, bringing it 0.53 per cent firmer since it last […]

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Currencies

Nomura rounds up markets’ biggest misses in 2016

Forecasting markets a year in advance is never easy, but with “year-ahead investment themes” season well underway, Nomura has provided a handy reminder of quite how difficult it is, with an overview of markets’ biggest hits and misses (OK, mostly misses) from the start of 2016. The biggest miss among analysts, according to Nomura’s Sam […]

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Categorized | Insurance

AIG sells Japan life insurance business to Pacific Century


Posted on November 15, 2016

Richard Li, the Hong Kong entrepreneur who is the son of one of Asia’s richest men, has struck a deal to buy AIG’s remaining life assets in the continent as he moves to build a challenger to the region’s more established operators.

FWD Group, the insurance arm of Mr Li’s Pacific Century Group, has agreed to acquire AIG’s Japan life business.

Terms of the transaction were not disclosed, but the business, AIG Fuji Life Insurance (AFLI), had assets of less than $5bn as of the end of March. AIG has total assets of about $515bn and a market capitalsation of $66.3bn.

Mr Li is the son of Hong Kong billionaire Li Ka-shing. Since 2013, FWD has grown its footprint in life insurance across Thailand, Indonesia, the Philippines, Singapore and Vietnam, with a strong base in Hong Kong and Macau. FWD’s entry into Japan, which is the world’s second-biggest life insurance market, “further extends its regional footprint and is part of its vision to become a leading pan-Asian insurer”, the company said in a statement.

The deal is small in the context of AIG, although it is symbolically significant for the New York-listed insurer, which has been under pressure to improve returns from the activist investors Carl Icahn and John Paulson.

Peter Hancock, AIG’s chief executive, said:

Like other actions we’ve taken this year, the sale of AIG Fuji Life makes us a leaner insurer that’s better focused on the geographies and segments where we have the critical mass and expertise to provide tremendous value to our clients.