July 18, 2008at 5:58 am
· Filed under Insurance, International Insurance, investments
White Mountain Insurance insider trading | WTM
There is not way you can judge a companies future value by the trading by the insiders. The value of the company is based on the numbers and the business. Insiders trade stock for various reasons. Often connected to personal situations or company politics. When people point to White mountains chief Ray Barrette buying 800,000 dollars of the stock, approximately. You can also look at the Chief of investments John Gillespie selling 1.5 million dollars, approximately. Insiders have millions and move stock and trade stock for reasons unknown to outsiders. WTM has a P/E of 17.6. In my opinion for a financial company this is high, further its been in a strong downward trend. These are more important determinate factors in a stocks future than who buys what. Look at how close actual earnings comes to projected earnings and future P/E, earnings momentum etc not insider trades. Also look if there are better companies to buy now. Although WTM might come back from its 200 point fall from 600 to 400, I will wait for more evidence than insider trading at White Mountain Insurance | WTM before I personally buy.
198 words, reading time ~ 48 secs
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Tags: white mountains insurance, wtm
July 15, 2008at 8:02 am
· Filed under Insurance, International Insurance
Liberty Mutual Insurance in China
Liberty Mutual is opening an office in China. Liberty will focus on personal lines and small to mid-size businesses. This will include Auto. Over all its only one office in Beijing but strategically a very good move for Liberty mutual insurance. I think if you just run the number about how many people have become middle class in China and their buying power, the potential for profits is huge. Insurance is a well calculated gamble and insurance companies always win. The main thing that held Liberty from having a branch in China before was the regulatory agency; however, Liberty mutual received approval from the China Insurance Regulatory Commission and this is a start. I have seen Liberty Mutual make large gains in Poland. I think Liberty is generally a strategically very forward looking company.
140 words, reading time ~ 34 secs
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Tags: China, Liberty Mutual
April 12, 2008at 5:52 pm
· Filed under International Insurance
1.3 billion dollar payout for Russian Insurance wife
Although it is not directly an insurance payout, but rather a potential marriage dissolution settlement, it is insurance related none the less. Anna Khachaturova, the wife of Danil Khachaturov who is the head of the Russian Insurance empire Rosgosstrakh wants 50% of his insurance stock. Gosstrakh and its successor Rosgosstrakh was the first and is the biggest of the Russian insurance companies and succeeded in the Russian insurance industry because of brand name recognition. If this settlement is reach it will dwarf western settlements of this nature. Insurance is clearly a profitable business.
102 words, reading time ~ 24 secs
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Tags: Insurance, insurance payout, Russian
