(Bloomberg) -- Low interest rate policies by central banksaround the world are threatening insurance companies and pensionfunds, said Laurence D. Fink, chief executive officer of BlackRockInc., the world’s largest asset manager.
“As we live in a world of persistent low rates and, in the caseof Europe, negative rates today, when you put a macro-prudentialframework on it, we are destroying the value of pension funds,”Fink said at a conference in Singapore on Tuesday. “We aredestroying the viability of insurance companies.”
BlackRock is the biggest investor in insurers including AmericanInternational Group Inc. and Prudential Financial Inc. His NewYork-based company also seeks to manage funds for insurers as theyweigh bets in infrastructure and real estate to counter low bondyields.
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