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Chasing yield, U.S. private equity firms nudge up risk on insurers

PE-insurance marriages can be joyous: Asset managers have skills and access to investments that insurers lack, and insurers provide cheap funding. PE firms also earn significant fees, even though their investments do not always capture outsized returns.

PE firms are nudging up risk on a large pool of money. They now own 7.4% of all U.S. life and annuity assets, or $376 billion, double the tally in 2015, credit agency AM Best said. Pending deals could add $250 billion this year, pushing PE ownership to 12%.

Risk of COVID-19 surge threatens Africa’s health facilities

Only around two per cent of the population has received at least one dose of COVID-19 vaccine, compared with the 24 per cent global figure.
In the last two weeks, the continent has recorded a 20 per cent increase in coronavirus infections, compared to the previous fortnight.

“The pandemic is trending upwards in 14 countries and in the past week alone (and) eight countries witnessed an abrupt rise of over 30 per cent in cases,” WHO said in a statement.

US SC rejects Johnson & Johnson’s appeal of $2 billion penalty in baby powder cancer case

An investigation found that J&J knew for decades that asbestos, a carcinogen, was present in its talc products. Internal company records, trial testimony and other evidence showed that from at least 1971 to the early 2000s, J&J’s raw talc and finished powders sometimes tested positive for small amounts of asbestos.

The company said in May 2020 it would stop selling its baby powder talc in the United States and Canada, citing changes in consumer habits and what it called “misinformation” about the product’s safety amid numerous legal challenges.

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