Unfavorable market effect for BNP Paribas

A BNP Paribas branch

Despite an increase in activity, the insurance branch of BNP Paribas recorded in the first quarter of the year a turnover down nearly 9% due to an unfavorable market effect.

The market downturn will have affected BNP Paribas’ insurance business from the first quarter of 2022. The bank-insurer reveals lower indicators compared to the same period in 2021, despite a performance in savings and protection activities.

Over the first three months of the year, the insurance business recorded a drop in turnover of nearly 9% over one year, ” in connection with the specific accounting impact linked to the fall in the markets “Said a press release. It went from 792M euros at the end of March 2021 to 721M euros at the end of March 2022. Concerning the pre-tax income, it amounted to 373M euros, against 442M euros, i.e. a decrease of 15.6% on a year.

However, the savings activity shows a ” very good » commercial performance in France and abroad. Gross inflows amounted to 7.6 billion euros, compared to 6.2 billion euros at the end of March 2021, an increase of more than 21%. A majority of net inflows were made in units of account.

Regarding the protection activity, it displays ” good performance and continues to grow. The momentum is notably linked to the provident and non-life and home insurance activities managed by Cardif IARD.

Operating expenses, at 384 million euros, increased by 0.4% compared to the first quarter of 2021. For allocated equity, they fell by more than 20% and went from 9 million euros to 7.2 million euros. euros.

On the asset management side, the group posted more convincing results.

Continuation of partnerships

The expansion of partnerships continues, particularly abroad with an exclusive partnership with fintech Neon in Brazil. The latter provides more than 10 million customers with financial protection and home insurance coverage. The bank-insurer also has a long-term protection agreement in Mexico with Coppel, the second largest distribution group, including a bank with 14 million customers.

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