Insurers and reinsurers authorized to make recourse to investment management companies

Egyptian regulators will soon authorize local insurance and reinsurance companies to entrust part of their investment portfolio to companies specializing in financial management.

Currently, insurers are managing all their investments on their own, making investments in the form of cash deposits, bank saving certificates, government securities, stocks, mutual funds, bonds as well as Islamic financial products. This initiative should allow insurers and reinsurers to manage their investments in a professional manner while promoting the activity of specialized management companies.