The rating on the Singapore-based ACE Insurance Ltd. (Singapore) reflects the company's strong implicit support from its parent, ACE Group (core operating companies rated A+/Stable/--). The rating also reflects the company's strong capitalization, good operating performance, and its conservative investment profile. These factors are, however, moderated by the company's relatively small size in the competitive Singapore non-life insurance market. ACE Singapore is viewed as strategically important to ACE Group for its global presence and regional strategy. The company, together with sister companies in Asia-Pacific, reports to ACE's regional hub based in Singapore. Through the regional office, ACE Singapore enjoys technical support in actuarial, investment, risk management, and reinsurance. The insurer's capitalization is strong despite a decline in its shareholders' funds
