Why I don't like insurers

[partridge]

1. Their products will be squeezed out because their margins are too high on the products they sell and their distribution model is under regulatory threat. They have more legacy business than you can swing a stick at - usually in decline and neglected( so much for imbedded value). They have no postioning as Asset Managers - if you look at their website its a mess of meaningless "me too" funds. Their US Asset Management business patently suffers from the same faults - only its more evident. Okay you say there are the discovery's of this world. Consider this. Their life business is even more vulnerable to regulatory lock down in a socialistically inclined environment- but you say there is more alleged client loyalty - not really - their clients are more confused than the average lemming - and the real threat to them is that regulatory creep will get them too. I could go on. Just asset gatherers in a suit - and its starting to show signs of wear.

[kwagga]

You have to mention their majority stake in Nedbank as well. Think what you want on this one, I'm up 160% in three years and expecting a huge special divi. Couldn't ask for much more than that. Once it sells it's NED stake, I'll become a seller.

[#3]

sell them when it is reflected in their numbers, pure and simple. In the meantime, trying to second guess their own markets or their strategies to deal with them is tantamount to saying you don't trust the management of the company to have the required expertise to perform in their areas of speciality. Focus on the numbers - let the experts you have indirectly contracted to manage your investment in OML focus on the strategy - IMO