Insurance giant bullish on PH

Asia-Pacific insurance giant AIA is bullish on the Philippine economy, devoting a significant portion of its regional portfolio in bonds and equities while looking for investment opportunities in infrastructure.

AIA, the parent company of local insurance giant Philippine American Life and General Insurance Co. (Philam Life), is “overweight” on the Philippines for the last two years, which means that it has invested in excess of the allocation prescribed by benchmark indices.

For the first time in more than a decade, AIA brought to the Philippines its key investment professionals in 16 overseas markets where it operates for a group-wide investment conference.

“AIA remains uniquely positioned to benefit from the strong performance of economies in  Asia and in the Philippines, and what’s happening here is important and is key to that,” visiting AIA group chief executive Mark Tucker said in a press briefing yesterday.

Across the region, the Hong Kong-based Tucker said AIA could see significant potential arising from the urban population, rising disposable household income and under-insurance protection. “All of these provide significant opportunities across the region for possible expansion,” he said.

“We have significant exposure to the Philippines in both bonds and equities.