Hartford Takes $600 Million Charge to Hedge Japan Annuity Risk
Hartford Financial Services Group Inc. (HIG) said first-quarter results will include a $600 million charge as the insurer hedges risks from savings products sold to Japanese investors.
The insurer will guard against fluctuations in currency valuations and stock markets, according to a statement today from Hartford, based in the Connecticut city of the same name.
Chief Executive Officer Liam McGee is seeking to cut risks after the insurer stopped selling the savings products known as annuities and focused on property-casualty coverage to boost Hartford’s shares. The insurer is scheduled to give a presentation to investors today on U.S. and Japanese annuities.
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