Management Strategies and Dynamic Financial Analysis
Variance, Vol. 2, No. 1, pp. 54-66
23 Pages Posted: 10 Nov 2006 Last revised: 10 Jun 2013
Date Written: September 21, 2006
Dynamic financial analysis (DFA) has become an important tool in analyzing the financial situation of insurance companies. Constant development and documentation of DFA tools has occurred during the last years. However, several questions concerning the implementation of DFA systems have not been answered in the DFA literature to date. One such important issue is the consideration of management strategies in the DFA context. The aim of this paper is to study the effects of different management strategies on a non-life insurer's risk and return profile. Therefore, we develop several management strategies and test them numerially within a DFA simulation study.
Keywords: Dynamic Financial Analysis, Performance Measurement, Simulation, Non-Life Insurance
JEL Classification: C15, G22, G31, G32
Suggested Citation: Suggested Citation