Munich RE CEO Says Interest Rates May Have Seen Bottom

The video discusses the potential for interest rate hikes and their global implications, particularly in Europe and Germany. It highlights the challenges faced by businesses due to negative interest rates and the spread between US and German Treasurys. The impact on reinsurance and primary business is explored, with a focus on the US market. The video concludes with a discussion on M&A opportunities, emphasizing the challenges of high market prices despite being well-capitalized.

What is the expected action of the Federal Reserve regarding interest rates?

• A significant increase in interest rates

• No change in interest rates

• A slight increase in interest rates

• A significant decrease in interest rates

How does the German market differ from the US market in terms of interest rates?

• Germany has higher interest rates than the US

• Germany has lower interest rates than the US

• Germany has no interest rates

• Germany and the US have similar interest rates

What is the current status of the German 10-year Treasury bond?

• It is at 100 basis points

• It is in negative territory

• It is at 0 basis points

• It is up to around 40 to 45 basis points

What percentage of the business is affected by negative interest rates in Germany?

• Exactly 25%

• More than 50%

• Less than 10%

• About 75%

Why is the company cautious about engaging in M&A activities?

• Due to lack of capital

• Because of low market prices

• Because of high market prices

• Due to regulatory restrictions