UBS: Maintains "Buy" rating on FWD Group, lowers target price to HK$104

UBS released a research report stating that it is optimistic about the potential 15% growth in new business value of Youbang Insurance in the mid-term, as well as achieving a total shareholder return of 4%, and maintains a "buy" rating. Due to changes in business portfolio driving capital efficiency improvements, the new business value of new business investments is expected to increase by 23% by 2025. In response to the macro headwinds caused by the Iran conflict, including weak stock market performance, rising US interest rates, and a stronger US dollar, the bank has lowered its 2026 net profit and embedded value forecasts by 8% and 3%, respectively, with the target price revised down from HK$106 to HK$104.