Swiss Life is growing in the single digits - real estate investments are clouding the picture

Swiss Life is growing in the single digits - real estate investments are clouding the picture

According to a report by www.finews.ch, Swiss life insurer Swiss Life recorded single-digit growth in the first nine months of the year. While premium income increased in the life business and in the advisory services and commission business, fee income in the fund and investment division Swiss Life Asset Managers fell by 9 percent. This is due to the sale of a subsidiary, negative currency effects and subdued real estate markets.

However, CEO Patrick Frost expressed confidence, stating that the rate hike cycle will come to an end and real estate markets will normalize over the next year. To the delight of shareholders, Swiss Life launched a share buyback program worth 300 million francs.

This development sheds light on the real estate market and could have potential implications for the industry. A decline in fee income in the funds and investments division shows that property markets are subdued, which could be a warning for investors. This could lead to more cautious investments and a general reluctance in the real estate market.

In addition, Swiss Life's solvency ratio has recently decreased. Although it is still above strategic ambition, this could be a sign of possible risks for potential investors.

Overall, the development at Swiss Life could potentially lead to a slowdown in the real estate market and a more cautious attitude among investors. However, this depends on further developments in the industry and the economy.