| dc.description.abstract | The aim of this research was to analyze the practices of asset Liability Management(
ALM) at CIC Life Assurance. The study was significant because it analyzed how
ALM practices at CIC Life assurance determined its solvency and profitability. This
study’s main objective was to show how ALM determined the solvency and profitability
of the company. To determine solvency, solvency and liquidity ratios were calculated
while for profitability, ROA and ROE were calculated. The financial ratios calculated
helped determine the financial position of CIC Life Assurance. Expected returns were
calculated based on past data on beta and risk free rate. Expected returns help make
investment decisions. Higher expected returns showed that investors would earn well
in their returns and the company would also profit. The project specifically employed
Capital Asset Pricing Model(CAPM)to calculate expected return and monte carlo simulation
to assess fluctuating economic conditions. Data from January 2018 to December
2022 from the CIC database was obtained and used in the calculation of the ratios. The
variables used for analysis were: Total assets, total liabilities, current assets, current liabilities,
shareholder equity, net income. The results indicated that CIC Life Assurance
is solvent and profitable. | en_US |
