FWD Group

Last updated
FWD Group
Type Private
Industry Financial services (insurance)
Founded2013 in Hong Kong
Founder Richard Li
Headquarters
Hong Kong
Areas served
Hong Kong, Macau, Thailand, Malaysia, Indonesia, the Philippines, Vietnam, Japan, Singapore, Cambodia [1]
Key people
  • Huynh Thanh Phong (CEO)
  • Frederick Ma (chairman)
  • Simeon Preston (COO)
  • Jon Nielsen (CFO)
  • Binayak Dutta (Managing Director, Emerging Markets, and Group Chief Distribution Officer) [2]
AUM US$63 billion (2021) [1]
Owner Apollo Global Management, Canada Pension Plan Investment Board, Huatai Securities, Li Ka Shing Foundation, Metro Pacific Investments and Pacific Century Group [1]
Number of employees
6,100 (2021 [1] )
Parent Pacific Century Group
Website fwd.com

FWD Group is a multinational insurance company based in Hong Kong. [3] [4] [5] [6] Founded in 2013 [7] as the insurance arm of Pacific Century Group, FWD Group sells life and medical insurance, general insurance and employee benefits [8] in Asia. [9] The company had USD$50.9 billion in assets under management in 2020 [10] and in 2021 was managing US$63 billion in assets. On March 13, 2023, FWD Group refiled its Main Board listing application with The Stock Exchange of Hong Kong. [11] The initial filing was made on February 28, 2022. [12] In 2023, FWD celebrated its 10th anniversary, and currently operates in Hong Kong, Japan, Macau, Singapore, Thailand, Philippines, Indonesia, Vietnam, Malaysia and Cambodia. [1]

Contents

History

2013-18

FWD Financial Centre in 2013 in Hong Kong. HK Sheung Wan Des Voeux Road Central Fu Wei Jin Rong Zhong Xin FWD Financial Centre ING Tower name sign Sept-2013.JPG
FWD Financial Centre in 2013 in Hong Kong.

Richard Li of Pacific Century Group formed FWD Group in 2013 [7] after purchasing ING Group’s insurance and pension units in Hong Kong, Macau and Thailand for US$2.1 billion. [4] [9] Swiss Re bought a 12.3% stake in FWD Group in 2013 [10] for $425 million. [13] Huynh Thanh Phong joined as CEO in 2013. [14] The company then expanded into the Philippines in 2014 and Indonesia in 2015. Expanding into three more countries in 2016, [3] [7] that year FWD Group acquired Shenton Insurance in Singapore, [8] also purchasing a unit from Great Eastern Holdings Ltd. in Vietnam [7] for $35 million. [15] In late 2016, FWD agreed to buy AIG's Fuji Life Insurance Co. in Japan. [7] By April 2017, FWD had [16] $24.4 billion in assets under management [3] and sponsored the Clockenflap music festival. [17] In 2018 FWD agreed to purchase an Indonesian life insurance venture, PT Commonwealth Life, from the Commonwealth Bank of Australia for $300 million. [18] When the acquisition completed in 2020, PT Commonwealth Life was rebranded PT FWD Life Indonesia. [19] FWD Group also purchased HSBC’s stake in a Malaysian insurance joint venture in 2018, [18] acquiring 49% of HSBC Amanah Takaful (Malaysia), [15] now renamed FWD Takaful (Malaysia). [20]

2019-23

In June 2019, FWD Group purchased MetLife's business in Hong Kong [6] [10] reportedly for around $400 million. [9] That month, FWD Group agreed to buy SCB Life Assurance, the life insurance business of Thailand’s Siam Commercial Bank, for $3 billion, "reflecting the largest insurance deal in Southeast Asia in terms of value." [6] [21] FWD also launched its Malaysian takaful (Islamic insurance) market at the end of July 2019. [22] By August 2019, FWD had applied for a license to enter a joint venture in China. Having spent $6 billion on mergers and acquisitions since its founding, [5] in November 2019, FWD agreed to acquire Vietcombank-Cardif Life Insurance, a joint venture between Vietcombank and BNP Paribas Cardif, [23] for $400 million. [15] FWD announced in December 2019 it would exit its group medical insurance business in Singapore by December 2020. [24] [25]

FWD Tower in Jakarta, Indonesia. SCBD Jakarta.jpg
FWD Tower in Jakarta, Indonesia.

In March 2020, Prudential acquired a bancassurance partnership in Thailand from FWD Group for $753 million. [26] The following month, FWD Vietnam Life became the largest life insurer in Vietnam by charter capital. [27] In April 2020 FWD Group launched a Covid-19 Charity Drive. [28] In June 2020, FWD Group purchased a minority stake in the life insurance arm of PT Bank Rakyat Indonesia (BRI), PT Asuransi BRI Life, for a reported $300 million. [29] By September 2020, press reported that FWD Group was considering an initial public offering in Hong Kong. [10] That month, FWD Insurance purchased a stake in IPP Financial Advisers. [30] In 2020, FWD Group had $50.9 billion in assets under management and 7.5 million customers, with 6,200 employees in Asia. [10]

In 2022, FWD Group's Value of New Business reached US$823 million, up 29% compared to 2021, and it's segmental adjusted operating profit before tax was US$334 million, representing an 83% increase over the previous year. [31] [32] [11]

FWD Group has 6,100 employees and $63 billion in assets under management, and as of 2023 approximately 10 million customers across 10 markets. [14] [1]

In February 2023, FWD Group announced an investment in Gibraltar BSN Life Berhad (Gibraltar BSN) to enter the Malaysian life insurance market. Together with other investors, FWD Group will acquire 70% stake from The Prudential Insurance Company of America, the wholly owned subsidiary of US-based NYSE-listed Prudential Financial, Inc. (PFI). [33]

On March 13, 2023, FWD refiled for a Hong Kong IPO with total private placement amounting to US$1.825 billion since December 2021. [34]

See also

Related Research Articles

<span class="mw-page-title-main">Richard Li</span> Hong Kong businessman

Richard Li Tzar-kai is a Hong Kong businessman and philanthropist. The founder and chairman of the private investment group Pacific Century Group (PCG), Li started his career in the 1990s with the founding of STAR TV, a pan-Asian television network. After founding PCG in 1993, he went on to establish PCCW and HKT Trust.

Pacific Century Group (PCG), chaired by Richard Li, is an Asia-based private investment group founded in 1993 with interests in technology, media and telecommunications, financial services, infrastructure, property and other investments. It operates mainly in the Asia-Pacific region, including Singapore, Hong Kong and Japan.

Disney Networks Group Asia Pacific, formerly Satellite Television Asian Region, subsequently Fox International Channels Asia Pacific, and Fox Networks Group Asia Pacific, is a Hong Kong-based commercial broadcasting company operating multiple specialty television channels. The company was founded in 1991 by Hong Kong businessman Richard Li.

<span class="mw-page-title-main">Maybank</span> Malaysian bank

Malayan Banking Berhad is a Malaysian universal bank, with key operating "home markets" of Malaysia, Singapore, and Indonesia. According to the 2020 Brand Finance report, Maybank is Malaysia's most valuable bank brand, the fourth-top brand amongst the Asean countries and ranked 70th among the world’s most valuable bank brands.

<span class="mw-page-title-main">Sun Life Financial</span> Canadian insurance company

Sun Life Financial Inc. is a Canadian financial services company. It is primarily known as a life insurance company.

<span class="mw-page-title-main">HSBC (Hong Kong)</span> HongkongBank, subsidiary of HSBC Group

The Hongkong and Shanghai Banking Corporation Limited, commonly known as HSBC, is the Hong Kong-based Asia-Pacific subsidiary of the HSBC banking group, for which it was the parent entity until 1991. The largest bank in Hong Kong, HSBC operates branches and offices throughout the Indo-Pacific region and in other countries around the world. It is also one of the three commercial banks licensed by the Hong Kong Monetary Authority to issue banknotes for the Hong Kong dollar.

<span class="mw-page-title-main">People's Insurance Company of China</span> Chinese insurance company

The People's Insurance Company (Group) of China Limited, known as PICC Group or just PICC, is a Chinese listed insurer. The Chinese Central Government is the controlling shareholder.

<span class="mw-page-title-main">OCBC Bank</span> Singaporean multinational banking and financial services corporation

Oversea-Chinese Banking Corporation, Limited, often known as OCBC Bank, is a Singapore multinational banking and financial services corporation headquartered in OCBC Centre, Singapore. OCBC Bank was born out of the Great Depression through the consolidation of three banks in 1932 — the Chinese Commercial Bank Limited, the Ho Hong Bank Limited and the Oversea-Chinese Bank Limited.

<span class="mw-page-title-main">Charoen Pokphand</span> Largest private company in Thailand

The Charoen Pokphand Group Company, Ltd. (CP) is a Thai conglomerate based in Bangkok. It is Thailand's largest private company and the largest privately held Royal Warrant holder of the Thai Royal Family. The company describes itself as having eight business lines covering 13 business groups. As of 2020, the group has investments in 21 countries.

<span class="mw-page-title-main">Great Eastern Life</span> Singaporean insurance company

Great Eastern Life Assurance Co. Ltd, often known as Great Eastern Life or simply Great Eastern, is a Singaporean multinational insurance company and subsidiary of OCBC Bank operating in the Southeast Asia region. Founded in 1908 by Alfred Hewton Fair, it is the largest and oldest life insurance company in Singapore and Malaysia.

<span class="mw-page-title-main">CIMB</span> Malaysian Universal Bank

CIMB Group Holdings Berhad is a Malaysian universal bank headquartered in Kuala Lumpur and operating in high growth economies in ASEAN. CIMB Group is an indigenous ASEAN investment bank. CIMB has a wide retail branch network with 1,080 branches across the region.

<span class="mw-page-title-main">AIA Group</span> Hong Kong multinational insurance and finance company

AIA Group Limited, often known as AIA, is a Hong Kong-based multinational insurance and finance corporation. It is the largest publicly listed life insurance group in Asia-Pacific. It offers insurance and financial services, writing life insurance for individuals and businesses, as well as accident and health insurance, and offers retirement planning, and wealth management services, variable contracts, investments and securities.

Catcha Group is an international Internet group founded by entrepreneur Patrick Grove. The Group controls a number of publicly listed and private media, new media, online classifieds and e-commerce businesses, and is one of the largest investors in the digital sector in emerging markets, notably ASEAN. Catcha Group and its related entities have completed over 50 investments either directly or indirectly, as sole, majority or minority shareholders.

<span class="mw-page-title-main">United Overseas Bank</span> Singaporean multinational banking organization

United Overseas Bank Limited, often known as UOB, is a Singaporean multinational banking corporation headquartered in Raffles Place, Singapore, with branches mostly found in most Southeast Asia and East Asia countries. It is one of the three "big local banks" in the country, the other two being DBS Bank and OCBC Bank.

<span class="mw-page-title-main">Cordlife</span> Consumer health company

Incorporated in May 2001, Cordlife Group Limited, is a consumer health company and one of the leading providers of cord blood and cord lining banking services in Asia. Cordlife has been listed on the mainboard of SGX since March 2012.

<span class="mw-page-title-main">Etiqa</span> Malaysian life insurance company

Etiqa is an insurer and takaful operator in ASEAN. A member of the Maybank Group, it offers life and general insurance policies, as well as family and general takaful plans via more than 10,000 agents, 46 branches, 17 offices, a bancassurance network comprising over 490 branches, cooperatives, brokers and online platforms across Malaysia, Singapore, Indonesia, Philippines and Cambodia. Etiqa is also a digital insurance/Takaful player in Malaysia with over 55% market share of online premium/contribution in the past three consecutive years. Etiqa is also a bank assurance player in Malaysia, in Digital Life Insurance in Singapore and a Group Medical insurer in the Philippines.

LeapFrog Investments is a private investment firm that invests in high-growth financial services, healthcare and climate solutions companies in emerging markets. Since inception, LeapFrog has attracted over $2 billion USD from global investors. The firm's investments have grown at more than 24% annually over the life of the firm and its companies reach approximately 451 million consumers, primarily in Africa and Asia. LeapFrog has been ranked by Fortune as one of the top five Companies to Change the World, the first private investment firm ever listed.

Founded in August 2015 in Jakarta, Indonesia. J&T Express is an international delivery company with its core business in express services and cross-border logistics.

ICICI Prudential Life Insurance Company Limited is a life insurance company in India. Established as a joint venture between ICICI Bank Limited and Prudential Corporation Holdings Limited, ICICI Prudential Life is engaged in life insurance and asset management business. In 2016, the company became the first insurance company in India to be listed in the domestic stock exchanges.

<span class="mw-page-title-main">RRJ Capital</span> Hong Kong private equity firm

RRJ Capital is a private equity firm based in Hong Kong and Singapore. It is one of the largest private equity firms based in Asia.

References

  1. 1 2 3 4 5 6 "Hong Kong tycoon Richard Li’s FWD to raise up to $3bn in US IPO"; FT
  2. ↑ "Our Team;" FWD Group
  3. 1 2 3 "Upstart Hong Kong insurer FWD seeks a 'pan-Asian' reach". Nikkei Asia. 28 December 2017.
  4. 1 2 "Hong Kong Insurer FWD Group Eyes Singapore Listing". Insurance Journal. July 31, 2018.
  5. 1 2 Soon, Stella (September 20, 2019). "Asian insurer FWD is expanding aggressively in Asia". CNBC.
  6. 1 2 3 "Richard Li's FWD acquires life insurance unit of Thailand's Siam Commercial Bank". South China Morning Post. July 1, 2019.
  7. 1 2 3 4 5 "AIG Agrees to Sell Japan Life Business to Hong Kong's FWD Group". Carrier Management. 15 November 2016. Retrieved 2021-03-04.
  8. 1 2 Hermesauto (4 December 2019). "FWD to pull out of group medical insurance business in Singapore". The Straits Times.
  9. 1 2 3 "Richard Li's FWD Group acquiring an Asian insurance empire" . www.ft.com. 28 June 2019.
  10. 1 2 3 4 5 "Richard Li's FWD Plans Up to $3 Billion Hong Kong IPO - Bloomberg" . 23 September 2020.
  11. 1 2 "Billionaire Li's FWD Filing HK IPO Application Again, Sources Say". Wall Street Journal. March 13, 2023.
  12. ↑ "Billionaire Richard Li's FWD Files for Hong Kong IPO". Wall Street Journal. February 28, 2022.
  13. ↑ "Pacific Century sells FWD stake to reinsurer". South China Morning Post. 17 October 2013. Retrieved 2021-03-04.
  14. 1 2 "FWD's Huynh Thanh Phong - 'You have to find the right way to connect'"; FT
  15. 1 2 3 "FWD Group 'close to acquiring Vietcombank' for $400m". www.internationalinvestment.net. 2019-09-24. Retrieved 2021-03-04.
  16. ↑ Daga, Sumeet Chatterjee, Anshuman (2017-04-19). "Thailand's Siam Commercial in exclusive talks with FWD for $3 billion insurance sale: sources". Reuters. Retrieved 2021-03-04.{{cite news}}: CS1 maint: multiple names: authors list (link)
  17. ↑ "Why FWD does not act like a traditional insurance brand and sponsors music festivals". The Drum. 23 November 2017.
  18. 1 2 "FWD to bag CBA's Indonesia unit". The Jakarta Post. 24 October 2018. Retrieved 2021-03-04.
  19. ↑ "FWD Life rebrands business as acquisition completed". The Jakarta Post. 8 June 2020.
  20. ↑ Ching, Ooi Tee (2019-03-26). "Salim Majid Zain now heads FWD Takaful | New Straits Times". NST Online. Retrieved 2021-06-28.
  21. ↑ "SCB, FWD Group set to reach life insurance deal". Bangkok Post. 30 March 2019.
  22. ↑ "Brand launch for Takaful provider | The Star". www.thestar.com.my. 29 July 2019.
  23. ↑ Vu, Anshuman Daga, Khanh (12 November 2019). "FWD in insurance distribution deal with Vietcombank bank, buys venture". Reuters. Retrieved 2021-03-04.{{cite news}}: CS1 maint: multiple names: authors list (link)
  24. ↑ Hermesauto (4 December 2019). "FWD to pull out of group medical insurance business in Singapore". The Straits Times. Retrieved 2021-03-04.
  25. ↑ "FWD Singapore to drop group medical insurance". www.internationalinvestment.net. 2019-12-05. Retrieved 2021-03-04.
  26. ↑ "Prudential signs $753 mn deal with FWD Group". mint. 2020-03-19. Retrieved 2021-03-04.
  27. ↑ "Vietnam: FWD group strengthens life business". Asia Insurance Review. 28 April 2020. Retrieved 2021-03-04.
  28. ↑ "FWD Insurance enhances coverage with Covid-19 Assist – The Manila Times". www.manilatimes.net. 4 May 2020. Retrieved 2021-03-04.
  29. ↑ "FWD to buy stake in Indonesian life insurer for about US$300 million". South China Morning Post. 2020-06-23. Retrieved 2021-03-04.
  30. ↑ "FWD Insurance buys minority stake in financial advisory company". www.spglobal.com. 9 September 2020. Retrieved 2021-03-04.
  31. ↑ "Hong Kong Tycoon's FWD Nears Filing for $1 Billion IPO". Bloomberg. February 27, 2022.
  32. ↑ "Tycoon Richard Li Insurer FWD Files for $2 Billion U.S. IPO"; Bloomberg
  33. ↑ "FWD enters Malaysian life insurance with Gibraltar BSN investment". Insurance Business. February 21, 2023.
  34. ↑ "Life Insurer FWD Refiles Hong Kong Listing Application"; AM Best
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.