Ageas offers attractive yield but China outlook may drag, Goldman Sachs says
** Ageas AGES.BR shares up about 20% YTD; Goldman Sachs resumes the Belgian insurer at "neutral", citing Ageas' attractive returns yield but mixed outlook for key share price driver Taiping Life
** "The multiple re-rating likely reflects the core solvency ration boost at Taiping Life post the debt capital issuance," GS says
** Ageas holds an about 25% stake in the Chinese insurance company, which contributes about 30% to Ageas' earnings according to GS estimates
** GS flags development of new business sales, management of interest rate downside risk, overall financial market developments as key sources of upside/downside risks to Taiping Life
** Ageas' capital returns yield is attractive vs sector average, GS says, adding Belgium and Europe remain crucial in driving shareholder returns
** Having opened about 4% down, Ageas shares now slip about 0.9%
Reporting by Piotr Lipinski
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