Group overview

RMB-SI INVESTMENTS IS ACTIVE IN THE SHORT- AND LONG-TERM INSURANCE SECTORS. It creates customised insurance and financial risk solutions for large corporates by using innovative financial structures.

RMBSI continues to focus on creating additional annuity income through its underwriting management agency model and start-up affinity businesses. In addition, significant effort and time was also spent in developing new products for the structured business which in the past generated significant once- off profits.

At the interim reporting date, RMBSI reported a normalised loss of R3 million for the half year to December 2009. In the second half of the year it has made some progress in rebuilding its revenue streams and for the full year to June 2010 it reported normalised earnings of R13 million (2009: R79 million). The outcome over the last six months was driven by increased profitability from its portfolio of underwriting management agencies as well as new business gained, with eleven new transactions being concluded.

While it will take time for RMBSI to restore its income to a meaningful level, its marketing efforts are beginning to bear fruit and it has a healthy deal pipeline and good prospects for 2011.