BQ Prime's special research section collates quality and in-depth equity and economy research reports from across India's top brokerages, asset managers and research agencies. These reports offer BQ Prime's subscribers an opportunity to expand their understanding of companies, sectors and the economy.
Nirmal Bang Report
Life insurance stocks have corrected by 9-16% over the last six months versus a correction of 9% and 5.3% in Nifty 50 and Bank Nifty, respectively. Sector valuations appear attractive at 1.7-2.7 times given the visibility of long-term structural growth and scope for margin expansion.
In the last five years, private life insurance companies' annual premium equivalent has compounded at 11.7% compound annual growth rate compared to 8.7% CAGR in bank credit and (down) 6.4% CAGR in mutual fund net inflows.
We concur with the overall market view that the life insurance sector is poised to clock ~15% CAGR going forward.
We believe that protection will grow at a higher rate given the attractive product proposition while savings could somewhat mirror the gross domestic product growth rate.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.