Swiss Re AG Q2 2023 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Kamran Mark Hossain - JPMorgan Chase & Co, Research Division - Analyst : Two questions from me. The first one is just on the large business. I guess you're running a little bit behind your kind of halfway point the assessed results in the $900 million target. What is the -- is there some kind of natural tailwind that you should expect in the second half in the Life business is interested in kind of how you catch up to that $900 million. The second question is just on the -- I guess, on the planning P&C Re. To what extent do you think you're actually running ahead of plan? So you're below low 955 in the first half, your kind of assumption for the second half should be a little bit better than 95% because you've got more cat premium. So to what extent do you think you're actually running ahead of kind of better than 95% at the half 1 stage, given kind of what you've achieved so far?

Question: Tryfonas Spyrou - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst : The first one is on investments. I appreciate you sold out [completely] out of equities, but you still have a sizable sort of $3.6 billion private equity exposure even when you exclude your strategic investments. So can you maybe give us some color on your thinking when it comes to the space overall? I noticed that you also had some valuation gains in private equity. So presumably, you haven't seen much pressures here yet, do you not expect any pressure going forward? And the second question is on the topic of PSS and potential related liability exposures there. I was wondering you have set aside any specific reserves for potential exposure to this. And I was wondering the casualty strengthening could possibly relate to that? And maybe I was also hoping to get your thoughts on whether there have been any exclusions (inaudible) some of policies that could (inaudible) alleviate some exposure for the down line.

Question: William Fraser Hardcastle - UBS Investment Bank, Research Division - Analyst : Just first of all, we will touch on that inflation IBNR that you inserted. It looks like it's been absorbed sort of 15%, maybe 20%. You mentioned in the comments that some allowance for the 2024 inflation assumption. I guess that's new because it's extended from the end of '23. Any more color on the change in assumption you can give? Does this extrapolate a quarter? Or is it for the full year? Is there a specific country that, that is driven by or it's more generic? And then just thinking about that motor component of the strengthening outside of the bulk IBNR, can you verify that was a U.S.-specific commercial? Or is it more broad-based? And finally, just a quick one on reinvestment yield. It seemed to go down quarter-on-quarter in P&C, still at a very high level. It just seems strange given the dynamic in the quarter. Is there anything abnormal in either quarter? I guess what I'm trying to get to is what's the better one to use for a run rate.