Genworth WTF, APRA!

Wednesday, 25 May 2016

From Genworth today:

With respect, APRA, WTF! Genworth’s insurance in force is $322bn: It’ capital is a lousy $2.5bn:

Delivering a leverage ratio of 128.8x. And it’s running down its capital as we head into the ugly end of the business cycle.

How about some counter-cyclical action here, APRA?

About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.