Life Insurance Corporation of India (LIC), the country’s largest buyer of stocks, may cut its equity investment target to about Rs.30,000 crore for the current year, the lowest in a decade, as new premium growth declined amid coronavirus pandemic-related disruptions, two people directly aware of the insurer’s internal discussions said.
Life Insurance Corporation of India invested around Rs.47,000 crore in stocks in the year to March, a 21% decline from the previous fiscal year, according to official data.
The state-owned insurer (Life Insurance Corporation of India) has been traditionally called upon by the government to use its deep pockets to rescue privatization plans and even support the stock markets during major sell-offs.