As per the data of NIA, life insurance companies invested Rs 19.12 billion, non-life insurance invested 3.86 billion, reinsurance companies invested Rs 1.17 billion and micro life insurance invested Rs 8.8 million in the listed shares of Nepal Stock Exchange (NEPSE).
Out of fourteen licensed life insurance companies, all except of Meta Life Insurance have stock investment. As per the directive on investment of insurance companies formulated by NIA, they can invest 10 percent of their total investable fund on stock market. However, none of them have made such amount of stock investment.
According to the data, Himalayan Life Insurance has made the biggest investment on stock among the companies. It has investment of 8.66 percent of its investment portfolio of Rs 65.39 billion amounting to Rs 5.66 billion on stock market.
Meanwhile, National Life Insurance has the least investment of 0.82 percent of its total investable fund in the stock market. Out of Rs 64.32 billion investment portfolio, it has investment of merely Rs 529.9 million in the stock market.
Nepal Life Insurance which has the biggest insurance fund invested only 1.38 percent i.e. Rs 2.80 billion out of Rs 203.14 billion worth of investment portfolio.
In terms of invested amount, Citizen Life has the lowest investment of Rs 294.5 million in the stock market.
Non-Life Insurance Companies’ Stock Investment Rs 3.86 billion
Out of 14 non-life insurance companies, 12 companies made investment of Rs 3.86 billion in stock market. Against the NIA Directive, Prabhu Insurance has made investment of 13.31 percent of total investment portfolio in the stock market. The company has investment of Rs 328.6 million out of Rs 2.46 billion investment portfolio in the stock market.
Among non-life insurance companies, Rastriya Beema Company has the highest while NLG Insurance has the lowest investment in stock market.
Himalayan Re-Insurance Made Big Stock Investment
Out of two reinsurance companies, Himalayan Reinsurance has the highest investment in the stock market. In its Rs 17.77 billion worth of investment portfolio, it has investment of 6.08 percent amounting to Rs 1.07 billion in stocks.
Micro Insurance Companies Have Petite Stock investment
Among micro life and non-life insurance companies, only Liberty Micro Life Insurance has investment in stock market.
