Question

Why is it essential for insurance companies to understand the characteristics of various investment alternatives?

a.

To compete in the insurance market

b.

To comply with international regulations

c.

Due to rapid development and integration of financial markets

d.

To focus on real asset investments

Posted under IC 89 Management Accounting

Answer: (c).Due to rapid development and integration of financial markets Explanation:Insurance companies need to understand the characteristics of various investment alternatives due to the rapid development and integration of financial markets, making them significant partners in these markets.

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Q. Why is it essential for insurance companies to understand the characteristics of various investment alternatives?
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