13 APRIL 1929, Page 46


At the annual meeting of the Norwich Union Life Insurance Society on. Tuesday, Mr. Michael Falcon, a vice-president, who presided, referred to the unsettlement. produced _by the uncertainty of the monetary position and the immediate prospect of a General Election as a reason for the exercising of greater caution than ever in the investment of their funds. , Their actuaries assured them that there would have been (ample justification for increasing -interim bonuses in antici- pation of the general distribution due at the end of next year, but for the desirability of caution at the present moment. Excellent features, which point to a very satisfactory bonus declaration by the Society, are its low rate of expenses, and the fact that net interest earnings are just over double the rate assumed in the valuation, this in itself contributing £500,000 per annum to other sources of profit. In its investment in the Norwich Union Fire Office the Life Society has a very valuable asset, but since that purchase .was made_ all surplus profits over and above the dividend which was being paid at the time of purchase have been applied to writing down the liability on the shares,'this was t22 per share in 1925 and it is now only £3 10s. per share.

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