Insurance Australia Group - Margin Guidance Cut

Financials in Focus: QBE - The Long Hangover

Westpac - Let's See How The New CEO Handles These Fines

Westpac Placement: An Expected EPS Dilutive Deal but Discount Is Deep

Macquarie Group Placement - Small in Relative Terms but Seems Opportunistic

Silver Point

Thomas J. Monaco

Independent Insight Provider

Silver Point is a boutique research firm that focuses on the broader financial services sector, with a particular focus on troubled institutions globally. 

Asia Ex Japan

Equity Bottom-Up

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<li>FWIW, as the unfortunate wildfires in Australia rage on with weather conditions set to worsen, Insurance Australia Group (IAG.AU) provided an update on its expected natural peril cost.</li>
<li>We have little confidence in IAG’s risk assessment given both that there is no light at the end of the tunnel for this catastrophe and that by all measures California has yet to finalize the cost on their own deadly and yet less horrific fires. </li>
<li> IAG estimates that natural perils costs will be approximately AUD 400 mn post quota share, compared to a perils allowance of AUD 320 mn for 1H20 (FY 2020 allowance of AUD 641 mn).</li>
</ul>


FWIW, as the unfortunate wildfires in Australia rage on with weather conditions set to worsen, Insurance Australia Group (IAG.AU) provided an update on its expected natural peril cost.
We have little confidence in IAG’s risk assessment given both that there is no light at the end of the tunnel for this catastrophe and that by all measures California has yet to finalize the cost on their own deadly and yet less horrific fires. 
 IAG estimates that natural perils costs will be approximately AUD 400 mn post quota share, compared to a perils allowance of AUD 320 mn for 1H20 (FY 2020 allowance of AUD 641 mn).


Insurance Australia Group – The CAT Is Out of the Bag