Fitch Ratings assigned Japan-based FWD Fuji Life Insurance Co. Ltd. an insurer financial strength rating of BBB+, with a stable outlook.
The rating agency said the IFS rating reflects the insurer's good capital adequacy, conservative asset mix and good business profile. It also reflects the company's moderately weak financial performance and sizable interest rate risk from duration mismatch between assets and liabilities.
Fitch, however, expects FWD Fuji Life's duration mismatch to narrow in the next several years, owing to the continuous rapid growth of the company's shorter-duration insurance products.
