Friday, March 20, 2009
Prudential Shares Plunge After Moody’s Downgrade
Prudential Financial Inc., the second-biggest U.S. life insurer, led decliners in the Standard and Poor’s 500 Index after a downgrade by Moody’s Investors Service on costs tied to retirement products.
Prudential fell $6.16, or 25 percent, to $18.76 at 4:15 p.m. in New York Stock Exchange composite trading, the most since the company went public in 2001. The insurer has plunged by more than 70 percent in the past 12 months.
Life insurers, which often guarantee minimum returns on retirement products called variable annuities, have suffered as declines in stocks backing the policies forced them to set aside more capital to fund potential future payouts. Assets in U.S. variable annuities fell 13 percent industrywide in the three months ended Dec. 31, a trade group said yesterday...
Bloomberg: Prudential Shares Plunge After Moody’s Downgrade
Prudential fell $6.16, or 25 percent, to $18.76 at 4:15 p.m. in New York Stock Exchange composite trading, the most since the company went public in 2001. The insurer has plunged by more than 70 percent in the past 12 months.
Life insurers, which often guarantee minimum returns on retirement products called variable annuities, have suffered as declines in stocks backing the policies forced them to set aside more capital to fund potential future payouts. Assets in U.S. variable annuities fell 13 percent industrywide in the three months ended Dec. 31, a trade group said yesterday...
Bloomberg: Prudential Shares Plunge After Moody’s Downgrade
Permalink posted by markw @ 4:40 AM 
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