Sunrise on Japanese VA hedging

Sunrise on Japanese VA hedging

Tokyo big wheel

As ING’s proposed sale of its Asian insurance units shows, legacy exposures from high-guarantee variable annuities (VAs) sold in Japan before the financial crisis continue to plague international insurers. The reported lack of interest in ING’s Japanese business, which is dominated by €18 billion (£11 billion) of variable annuity (VA) liabilities written between 1999 and 2009, has led the Dutch bank to offer to split its Asian business as buyers attempt to avoid any nas