As interest rates have normalised following an extended low-rate period, insurers in Asia are reassessing how they manage liquidity. Bank deposits, while remain a core liquidity tool for insurers, can carry concentrated counterparty risk due to recent episodes of bank stress and particularly where exposures are not well diversified.
Moving from concentrated bank deposits into diversified cash strategies, such as money market funds (MMFs), may improve capital efficiency while enhancing the balance between liquidity, security and expected return.
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MC748-30-06-2026 (6M)
