Review

Financial management

In a time of unprecedented volatility in financial markets, our financial strength, discipline and flexibility is a key differentiator. Our capital strength allows us to respond quickly to new business opportunities.

Richard Hextall
Group Finance Director

Key performance indicators

Net tangible assets

2008: £1,105.9m

2007: £983.3m

Cash and investments

2008: 2.4 x Shareholders’ equity

2007: 2.5 x Shareholders’ equity

Effective capital management has been fundamental in enhancing Amlin’s shareholder return over recent years, while retaining capital strength to assure policyholders and to facilitate investment in future growth. Management of the balance sheet has focused on the level of capital required, the type of capital employed, improved cash and investment management and the quality of assets held.

 
As shown in the chart below, we have continued to grow our liquid assets and net tangible assets, despite challenging financial markets and increased natural catastrophe activity.

Growth in cash and investments

Net asset growth