MetLife profit falls 33% as market turmoil hits investment income

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MetLife Inc reported a 33% drop in fourth-quarter adjusted profit on Wednesday as a global market rout hurt the U.S. insurer's investment returns.

The MetLife Inc building is seen in Manhattan, New York, U.S., December 7, 2021. REUTERS/Andrew Kellyreported a 33% drop in fourth-quarter adjusted profit on Wednesday as a global market rout hurt the U.S. insurer's investment returns.

Lower private equity returns sent MetLife's net investment income down 15% to $4.5 billion in the final quarter of a year that saw rising interest rates and growing recession risks pummel global markets across asset classes.Adjusted premiums, fees and other revenues - excluding pension risk transfers - decreased 1% to $11.4 billion.

Still, improving underwriting trends in the United States, Europe and Latin America, alongside lower COVID-19 life insurance claims, partially offset the hit to its investment income. U.S. adjusted earnings climbed 20% in the quarter, while Latin America and EMEA jumped 45% and 67%, respectively, on a reported basis.

 

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