Best insurance company for Long term

Hello friends

I want to invest in the insurance sector for at least 3-5 years.

Request fellow members to kindly guide me which insurance company will be good pick for portfolio.

Thanks and regards.

 

ADitya birla financial looks like good choice because it is mix of NBFc, mutual fund, insurance and all that. Stock is also blue chip so safety is there.

 

@Srouta Mukherjee
Do you the people who bought on listing will agree with this opinion of yours? A good 30% value erosion for them.

 

Who can deny that buying price is important but more important is quality of the company and long term outlook. If quality is good and holding is for long term, stock, no doubt, will give good return,even if it has been bought at elevated price.It has been my experiences many times.

 

For me buying at a reasonable price is paramount. Otherwise you can keep holding even good stocks for 2/3 years to just recoup buy cost + opportunity (holding) cost.

A 30% wealth destruction for people who bought at listing, In a market with bullish undercurrents. How long before the stock hits the high again?

Long term investment calls are just punts unless there is a clear, sure, existing known advantage/driver..... Like in the case of Eicher or Maruti. Else be like some in here - happy with 15% CAGR and treat such stocks as multibaggers just because at this CAGR they turn 4x in 10 years

 

Which one would be your pick sir?

 

@wild_hipman I beg to differ. I have bought ICICI Pru around 300 and listing price as I remember was 330. about one year back.It is around 400 now after significant price correction touching more than 500. I expect speedy price appreciation. in future. Sir I can quote many examples . But outlook has to be long term, meaning at least 5 years(.My long term time horizon is 10 years and more.)Company should of good quality. I believe market is efficient in the long term.In addition, the term Reasonable price is a conundrum and depends on time horizon. As I said earlier, entry price is important but quality along with time horizon is more important.This is just an expression of my views which depends on my insufficient knowledge ;no match to your investment wisdom.I am just a learner and could be wrong.

 

You are welcome to hold a divergent view. But in this very example you give me, again its the timing which played a key role i.e. you ability to enter at a relatively reasonable valuation.

BTW a sworn enemy bought this very share at 500+ early july this year

 

I don't actually understand the insurance business well...... so at the moment I am keeping away from the sector

 

How about SBI Life. I got 273 shares in IPO. I bought this keeping in mind a long term view of around 10 years. Currently it is below issue price. Is this a good insurance stock to hold or avoid.

 

Undoubtedly, Hold.Long term time frame. My view.

 

Thank you Shakti

 

Can anyone throw light on exide ltd?

It also has an insurance business.

Does anyone have an idea about it's insurance arm?