See where insurers invest their money

Publish date 16 September 2013
See where insurers invest their money image

Less than a month ago, the team of Profit.bg informed you that the interest in mutual funds in the country by households has been growing for a whole year.

A similar trend is reported in the investments of insurance companies in Bulgaria. A total of 63 insurance, reinsurance and health insurance companies, according to the latest data from our central bank, manage assets of BGN 5.3 billion.

Insurers' investments in shares and mutual funds to date amount to BGN 496.8 million, which is their highest level for the last two years after reaching BGN 508.7 million as of June 30, 2011 and BGN 529.8 million as of June 30, 2011. March 31, 2011

The decline in interest rates on deposits, quite logically, brought part of the funds invested in deposits, which today are already BGN 918 million compared to BGN 1.02 billion for the quarter earlier and the record BGN 1,119 billion reported as of December 31. 2012
A year earlier, insurers' deposits amounted to BGN 969 million.

Instrument number 1, where the assets of insurers are invested, continues to be securities other than shares (government securities and bonds), which are characterized by low risk, carrying lower returns than shares and units of mutual funds.
According to the latest data, over 47% of the insurers' funds have been invested in such assets.

Minimal growth was also reported in real estate investments, which reached BGN 156 million as of June 30, 2013 compared to BGN 145 million a quarter earlier and BGN 147 million a year earlier.
In the currency structure of the assets of insurance, reinsurance and health insurance companies the main share belongs to the assets denominated in BGN, which are 45.6% of the total assets at the end of June 2013 compared to 47.7% at the end of the second quarter of 2012.

Assets in euro were 22.7% compared to 19.9% ​​as of June 2012. As of June 2013, assets in US dollars were 4.2% compared to 4.7% at the end of the second quarter of 2012, and in other currencies - 27.5% compared to 27.7% as of June 2012. June 2012

Source: profit.bg