Japanese life insurers hold out for better bond yields

Japan's leading life insurers are accelerating their purchases of 30-year "superlong" Japanese government bonds (JGBs) as yields surpass the pivotal 2% mark, yet they remain cautious, anticipating higher yields later in 2024. Teruki Morinaga Fitch Ratings “Japanese life insurers are seeking even higher yields from JGBs. They have already reduced ALM [asset and liability] risks, or interest rate risk, substantially during the last few years, so they do not need to rush …