LONDON - German reinsurer Munich Re gave the market an unwanted reminder of just how badly European stock markets have been doing recently. Shares in Munich Re (other-otc: ), which is the world's largest reinsurer after Swiss Re, dived to close down 8.0%, at 107.77 euros ($169.03), in Frankfurt after it issued a profit warning and posted a 48.0% drop in its second-quarter earnings. Munich Re said that write-downs, largely at its equity portfolio, sent its second-quarter earnings to around 600 million euros ($940.2 million), from 1.2 billion euros ($1.9 billion) a year ago, while it now expects annual profits to be below its previous target of 3.0 billion euros ($4.7 billion), to 3.4 billion euros ($5.3 billion). The reinsurer, which has around 166 billion euros ($260.2 billion) of invested assets, 7.0% of which are in the...
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