upgrading cix to strong buy, page-5

Agree Jam. GWP growth is hardly exciting, and appears to be short-tail based (which, it appears, was where they got stung last year). Premium is not sticky, which may undermine the valuation. Investment income dissapointing - they have their duration totally A-up (they should be revolving their duration around their insurance duration, but with the shift to short-tail they are overlooking the fact that their "combined Sharpe ratio" is actually declining during a time is should be rising.

Wonder how they are going with the renegotation of debt facilities: reckon they will be paying away an additional 2% for the coming 3 years there...

Anyone with around $100mm of cash should step up to the plate. Cheap book if you ask me.

Kit