monthly report august 2011 2011.08.26 investment, accounting and finance cathay life (vn)
TRANSCRIPT
Monthly ReportMonthly ReportAugust 2011August 2011
2011.08.26
Investment, Accounting and Finance
Cathay Life (VN)
ContentsContents
This month activities1
Business result July 20112
Market News3
4 Next month plan
ContentsContents
This month activities1
1. Supported auditing tasks that conducted by both Parent
auditor & Earns & Young
2. Expenses monitoring to ensure the budget has been
implemented strongly.
3. Issuing reminder notice “Customer Services Safety box
management ”
4. Getting approval from Tax Dept and Notice to related
Dept about “Premium invoice without company seal”
Accounting Finance Accounting Finance Activities – Engaged projectsActivities – Engaged projects
5
InvestmentInvestment
Matured Bonds Reinvestment 10yrs TD in VDB, 90BN, 12.2% fixed rateMatured Bonds Reinvestment 10yrs TD in VDB, 90BN, 12.2% fixed rate
Macro Economic Forecast 2012 GDP: 6.48%, CPI: 9.5%, 10yr bond: 11.6%Macro Economic Forecast 2012 GDP: 6.48%, CPI: 9.5%, 10yr bond: 11.6%
Planning How to develop Vietnam’s investment Planning How to develop Vietnam’s investment
ActivitiesActivities
Fund Management Company Survey Seeking external legal opinions and respond to parent company
Fund Management Company Survey Seeking external legal opinions and respond to parent company
ContentsContents
Business result July 20112
YTD Jul 2011 Results (VND mil)YTD Jul 2011 Results (VND mil)Apr May Jun Jul YTD
Revenues 24,042 24,801 27,241 27,991 173,072
Expenses 26,546 29,824 32,026 33,054 191,952
Profits (2,503) (5,022) (4,784) (5,062) (18,880)
Budget 2011
(2,634) (1,645) (2,194) (2,290) (16,601)
YTD Actual / YTD Budget 2011
AprApr MayMay JunJun YTDYTDJulJul
114%
Gross Premium (VND mil)Gross Premium (VND mil)Apr May Jun Jul YTD
Actual 2011 12,940 13,648 16,452 16,524 87,891
Budget 2011 10,054 10,880 12,974 14,550 71,337
Actual 2010 6,200 5,490 7,322 8,145 40,205
YTD Actual / YTD Budget 2011
YTD Actual 11 / YTD Actual 10
123%
219%
10.1 10.913.0
14.612.9
13.616.5 16.5
6.2 5.57.3
8.1
0
3
6
9
12
15
18
Apr May Jun Jul
Budget 2011Actual 2011Actual 2010
YTD 87.9b
123% YTD budget
Sale expenses (VND mil)Sale expenses (VND mil)Apr May Jun Jul YTD
Actual 2011 8,154 9,398 9,326 10,052 57,248
Budget 2011 6,187 5,268 6,074 6,593 42,246
Actual 2010 5,125 5,709 4,989 1,884 29,408
YTD Actual / YTD Budget 2011
YTD Actual 11 / YTD Actual 10
136%
195%
YTD 57.2b
136% YTD budget
Premiums / Sale exp. (VND bn)Premiums / Sale exp. (VND bn)
12.9 13.616.5
16.5
8.29.4 9.3
10.1
0
4
8
12
16
Apr May Jun Jul
Premiums Sale Exp.
Premium123% budget
Sale Exp.136% budget
Loss114% budget
Premium trendPremium trend
New
Renewal
Actual Budget Act/Bud
FYP 67.92 45.89 148%
RP 19.97 25.45 78%
Investment
85.16 75.26 113%
Total 173.07 146.6 118%
Administrative expense (VND mil)Administrative expense (VND mil)Apr May Jun Jul YTD
Actual 20101 8,891 10,044 10,153 9,886 66,185
Budget 2011 10,044 10,086 10,157 10,343 69,884
Actual 2010 8,944 9,698 8,547 8,964 61,534
YTD Actual / YTD Budget 2011
YTD Actual 11 / YTD Actual 10
95%
108%
YTD 66.2b
95% budget
ContentsContents
Market News3
Updated law
New circular, 15/2011/TT-NHNN dated 12 Aug 2011: over USD 5,000 or VND 15 million must be declared to Customs while going abroad.
MOM: 1.17%YOY: 22.16%YTD: 14.61%
CPI YOY reach to highest level since 2008 Food and foodstuffs was major contribution to CPI Inflation was forecast at 1% MOM in Aug and gradually decreasing to year end
Vietnam CPI (%)
Market watch
Trade balanceTrade balance
July trade balance:-Exp ~ $8.4bio, 0.7%m/m-Imp ~ $8.6 bio, 0.2%m/m=> Trade deficit ~ $0.2 bio
Trade deficit improvement in the last two months resulted from the surge in gold re-export High trade deficit will perhaps comes back once local gold price equal with world price
FX marketFX market
FX rate was stable thanks to:- Low trade deficit- Foreign currency forced-selling policyHowever, FX rate will perhaps pressure in the coming time due to the rising of gold price
As of 19 Aug:-Official rate: 20.618-Bank: 20.780-Black market: 20.800
Global marketGlobal marketGold price vs US Stock Market
Debt crisis still threaten global market:-US Government agreed to increase debt limit to $14.3 billion from $12.1 billion-SP downgraded US rating out of highest level to AA+World worry about new crisis: Gold price increased dramatically to 1870 from 1500 in July US stock market drop 9.5% in Aug
ContentsContents
4 Next month plan
1. The on-line business trip reimbursement: Working
with IT & HR to select the best solutions.
2. Budget 2012 start-up
3. Universal life product: Set-up the accounting process.
4. Working with VNpost on Premium Collection
Agreement (Cont.) .
Accounting Finance Accounting Finance Activities – PlansActivities – Plans
21
InvestmentInvestment
Enhance Investment Yield Moving money to the highest return assets Maintaining the cash balance at the lowest level
Enhance Investment Yield Moving money to the highest return assets Maintaining the cash balance at the lowest level
Extend Asset Duration Seeking 10yrs bond investment
Extend Asset Duration Seeking 10yrs bond investment
Research and Training Making SOPs of department’s routine tasks
Research and Training Making SOPs of department’s routine tasks
PlansPlans
Macro Economic Forecast Preparing stage II forecast: Stock, FX, RE
Macro Economic Forecast Preparing stage II forecast: Stock, FX, RE
THE ENDTHE END