Re/insurers engage in a difficult style of trading with a capped upside (the premium) and a potentially unlimited downside (the loss) delivering asymmetric risk/returns. Machine learning creates optionality that helps rebalance the asymmetry.
Re/insurers engage in a difficult style of trading with a capped upside (the premium) and a potentially unlimited downside (the loss) delivering asymmetric risk/returns. Machine learning creates optionality that helps rebalance the asymmetry.