The recent global financial crisis, the European sovereign debt crisis, and the upcoming European regulations regarding fund reserves (so-called, Solvency II) forced the insurance industry to adapt to...

The recent global financial crisis, the European sovereign debt crisis, and the upcoming European regulations regarding fund reserves (so-called, Solvency II) forced the insurance industry to adapt to the new normal global economy by adjusting their bond portfolios. The new normal for insurance investors and general bond market participants includes the following trends in an effort to better evaluate the implications of fundamentals economic shifts.