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Research On Asset-liability Management In Chinese Life Insurance

Posted on:2005-05-09Degree:MasterType:Thesis
Country:ChinaCandidate:L SuFull Text:PDF
GTID:2156360125459605Subject:Finance
Abstract/Summary:PDF Full Text Request
The successive bankruptcies of Japanese life insurance companies shock the world insurance line and made us to pay attention to and research on the spread loss. Since August 1996, China has eight times cut down the interest rate, which made the spread loss of life insurance companies quite seriously. The bankruptcies of Japanese life insurance companies sounded the alarm for us. The domestic research on spread loss of life insurance companies were confined to discussion about such surface reasons as expanding market share blindly, unreasonably selling a large number of policies with high pricing interest rate, etc.. From the point of asset-liability management, this paper points out that the substantive reason of spread loss lies in the mismatching between the assets and the liabilities. It then puts forward a proposal that Chinese life insurance should avoid risks by asset-liability management. After raising the thesis of the paper, it makes a detailed summary about the development and foreign and domestic research condition of the asset-liability management. The paper adopts example analytical method to introduce the asset-liability management techniques most in use in foreign countries, and then chooses the immunization theory, which is more suited to Chinese present satiation, to make deeply research, including research with default risk and with option. It also apply the extended models to life insurance asset-liability management, and advance the immunization strategy of life insurance companies. On the basis of it, the paper puts forward the proposal that China should adopt the pattern in asset-liability management which combines asset leading pattern withliability leading pattern. This is the optimal pattern we can choose at present. At last it designs the implemental technological process of the optimal pattern.
Keywords/Search Tags:life insurance, asset-liability management, interest rate risk, spread loss, immunization theory
PDF Full Text Request
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