KONTAN.CO.ID - JAKARTA. The life insurance industry is still recording growth in investment assets in line with the less high volatility of the capital market. As of September 2021, the investment assets of the life insurance industry grew 10.8% yoy to Rp 494.17 trillion.
Based on OJK data, mutual fund assets still dominate around 33.40% of the life insurance industry's total investment portfolio. Meanwhile, the investment value in these assets reached Rp 165.07 trillion.
Furthermore, there are stock assets that contribute about 28.49% of the total portfolio with a value of Rp 140.78 trillion. As a comparison, in the previous period last year, the investment value in stocks was Rp. 115.68 trillion or grew by 21.69% yoy.
Meanwhile, growth in investment assets was experienced by BNI Life, which recorded a growth of 13% yoy with a value of Rp 20.5 trillion. Similar to the industry, mutual fund assets are the main choice for companies to place their investments.
"The largest investment assets in mutual funds are around 56% of our total assets and most of them are fixed income mutual funds," said BNI Life Finance Director, Eben Eser Nainggolan.
Not without reason, Eben explained that the placement in mutual funds is because the results obtained are relatively more stable than other instruments. Although, the company also puts some of its assets in the stock market because it makes more profits than the money market.
"For shares, we allocate a limited amount to get a gain," added Eben.
Currently, Eben said that his party was still selective in choosing investment assets even though the volatility related to tapering and the development of COVID-19 was considered to have started to decline. In addition, BNI Life also trades by taking advantage of every momentum to gain profits, especially in the stock market.