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Analysts at Deutsche Bank A.G. have said in a report that valuations of European reinsurers are too high, with one analyst saying valuations of some firms have reached levels that "we cannot justify even with reduced costs of equity," reported Artemis.bm.
A quest for dependable yield from investors and a market that has tended to avoid the fundamentals has driven up the high valuations, the analysts said. Reinsurers are expected to remain popular among traditional investors, reports Artemis.bm.
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