Munich Re has almost halved its holdings in stocks in recent weeks because of the debt crisis, Frankfurter Allgemeine Zeitung reported, citing an interview with Chief Financial Officer Joerg Schneider.
The reinsurer reduced equities to 2 percent of its portfolio from 3.5 percent at the end of June, or to about 4 billion euros ($5.7 billion) from 6 billion euros. Munich Re has no plan to sell U.S. bonds, even after the country’s credit rating downgrade, Schneider told the newspaper. Munich Re has increased its bond holdings in Scandinavia and in emerging markets, he was quoted as saying.
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