Asean states urged to relax bond, insurance rules
Sun Life's Asia CIO says the region's patchwork of risk-based capital rules and bond-pricing methods is problematic for insurers and prevents the development of a regional debt market.
Asean regulators should liberalise insurance and debt-market rules to develop institutional investment flows within the bloc, argues Michael Manuel,* Manila-based Asia CIO for Canadian insurer Sun Life Financial.
Because many Asean governments, including Malaysia and Indonesia, require most local insurance assets to be backed by their own government bonds, insurers are forced to match most of their liabilities with local assets, he says.
Diverse risk-based capital (RBC) rules al…
Please sign in or register
for free access to 1 article per month from AsianInvestor’s content and archives of over 16,000 articles.
¬ Haymarket Media Limited. All rights reserved.