How Does Overnight Policy Rate (OPR) affect Inflation?

"Inflationary pressures have continued to increase, mainly due to elevated commodity prices and strong demand conditions, despite some easing in global supply chain conditions."

"Consequently, central banks are expected to continue adjusting their monetary policy settings, some at a faster pace, to reduce inflationary pressures," Bank Negara said in a statement after hiking the benchmark OPR for the second time this year to 2.25% (May +25bps and July +25bps).

The last back-to-back hike was May-Sept 2010.

The Inflationary Pressures... 💢💣

The Role of Overnight Policy Rate (OPR) in BNM's Monetary Policy

Fuiyoh, the interest rate is creeping up again, rebounding from the record low level of 1.75% OPR during the pandemic lockdown period. What is that OPR? What is monetary policy?

Lately, many people are arguing that this is not a good time to hike interest rates amid the rising cost of living (high inflation) and our economy is not yet fully recovered. 💢💣

In this article, let us understand the role of OPR in our economy here...

Overview of Monetary Policy in Malaysia

Underwriting Risk in the Reinsurance Industry

Every insurance claim entails a certain amount of underwriting risk for the insurance company, which can be mitigated by the underwriting process.

Read more here.

Underwriting Risk in the Reinsurance Industry

When we submit an insurance claim in the event of an accident, injury or disastrous event, how does the insurance company determine the amount to be compensated to the insured?

In disastrous events such as floods or fires, does the company have enough to pay for all the insurance claims? Every insurance company faces underwriting risk with every insurance claim, which can be mitigated by an underwriting process.

THE UNDERWRITING PROCESS EXPLAINED

Can TOP GLOVE weather the effects of NORMALISATION by falling from the sky?

In less than 2 years' time, Top Glove Corp Bhd's quarterly profit went from a historical high of RM2bil to a mere RM15.3mil in their latest quarter. 😭😭😭

Today, 9 June 2022, Top Glove announced its financial results for the 3QFY2022, delivering quarter-on-quarter growth in Sales Volume, despite prevalent challenging market conditions amidst the normalising trend.

Key highlights here:

[Investment Scam] How to Spot and Prevent Imposters from Adding me to Telegram Groups?

Did you know that scammers can add you to a channel or a group depending on your Telegram settings? 👀

Just because the members of the group chat are actively interacting with one another, it doesn’t mean that the account is “real”.

The most common type of scam is get-rich-quick-schemes a.k.a skim cepat kaya which promise exorbitant returns that are guaranteed. 

It is essential to recognize the common patterns of scams to avoid being a victim. Don’t get tricked on Telegram. We come across a very insightful post from AffinHwang Asset Management and think that this will be beneficial to our readers here too.

Here are some ways to stay safe online and not get scammed by imposters: