Fitch Releases Special Report on Canadian Lifecos Year-End 2015 Results
OREANDA-NEWS. Fitch Ratings today released a special report summarizing IFRS results for Canadian life insurance companies (lifecos).
During 2015, operating income grew by 15% while reported net income declined by 9% for the three Canadian life insurance companies (lifecos) in Fitch's rating universe: Great-West Lifeco Inc. (GWO), Sun Life Financial, Inc. (SLF) and Manulife Financial Corporation (MFC). Operating subsidiary capitalization remains strong for the three major Canadian lifecos on both an absolute and risk-adjusted basis and at the same time financial leverage has fallen to a five year low. Fitch views the Canadian lifecos' exposure to the energy sector as manageable but an area of concern, particularly if oil prices remain at a depressed level for an extended period.