QBE 0.28% $17.73 qbe insurance group limited

I can not understand how the threads by Malay about ISIS are...

  1. 40 Posts.
    I can not understand how the threads by Malay about ISIS are linked to QBE?
    QBE has basically no policies and therefore no risk in the middle east or Iraq or Iran.
    They have some risk in south east asia such as Indonesia where there has been some terrorist acts lately (and also Turkey). However, the possible claims are negligible compared to their total claims for the current financial year. This is assuming that terrorist acts are covered. QBE also has a decent re-insurance division that has a good record in on-selling significant risk in areas where they are heavily exposed.
    Basically, the major risks to the short-term performance (within next 12 months) of QBE share price is low US dollar, higher bond prices, lower returns on share price in Europe, USA, Australia and Japan (QBE has increased its investments in world stock markets, however the bulk of its premium income is invested in govt securities, corporate bonds, fixed term deposits and short term money markets).
    Another risk is increase in natural disasters. These disasters were lower than average for last year so should be good when it reports in February.
    Also, another risk is if its restructuring of its businesses (which has been in place for the past 3 years) has resulted in loss making areas which the market has not anticipated.
    Its latest sell off from a high of around $14.50 to $10.50 within past 6 months is due to depressed stock market performances in past 6 months and worsening insurance premium margins by Suncorp ( however Suncorp is primarily QLD based whereas QBE is global based) .
    However, we have a rampant US dollar which would be positive for QBE and also an abnormal low natural disasters in last 12 months- especially in USA storms, cyclones .

    I predict that when it reports in February, QBE will report a profit above market consensus and the stock will be re-rated to around $12.50 to $13.00
 
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$17.73
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Last trade - 16.10pm 28/05/2024 (20 minute delay) ?
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