The company aims to achieve a balance between risk and return on its investments to safeguard the rights of all stakeholders (policy holders, shareholders, employees, regulatory bodies, and rating agencies) in accordance with the governing principles of local and global investment, particularly Egyptian accounting standards.
In addition, the company supports financial stability, cash flows, and returns while maintaining the required liquidity level within an acceptable risk level and diversified time horizon, considering short-term company obligations. This is based on investment principles that prioritize safety, liquidity when needed, and profitability.
This approach is reflected in the results of the investment process and yield development, ensuring sufficient liquidity to cover any urgent and immediate company commitments, especially compensations and insurance claims, without violating any local or global regulations in this regard. It also helps achieve a substantial return, enhancing the company's ability to offer competitive pricing, improve profitability, and increase financial resilience, thereby supporting its overall performance rates.
Insurance companies generate profits from two sources:- Underwriting surplus.
- Investment income.
In the same vein, there are two main sources of financing for insurance companies:
- Shareholders' equity.
- rights of policyholders.
The main objective of a successful investment policy is to communicate with the portfolio that achieves the highest possible return with the least amount of risk, through the following:
- Achieving the highest level of security against investment risks.
- Preserving and growing the real value of invested funds.
- Maximizing returns on invested funds (funds designated for the benefit of policies holders and free funds for shareholders).
- Maximizing the market value of the company's shares, whether they are traded on the stock exchange or not.
- Ensuring compliance with legal ratios and regulations issued by the relevant authorities.
- All of the above should be achieved within the legal framework specified by the project in Law No. 10 of 1981 for the supervision and control of insurance and its executive regulations.
