Fidelis Insurance Holdings Limited (FIHL) 13 Nov 242024 Q3 Earnings call transcript

Good morning, ladies and gentlemen, and welcome to the Fidelis Insurance Group's Third Quarter 2024 Earnings Conference Call.

As a reminder, this call is being recorded for replay purposes.

Following the conclusion of formal remarks, the management team will host a question-and-answer session and instructions will be given at that time.   With that, I will now turn the call over to Miranda Hunter, Head of Investor Relations. Ms. Hunter, please go ahead.

to Call. Insurance welcome XXXX Third and Conference Earnings morning, the Group's Fidelis Quarter Good today Dan Chief me that question-and-answer CFO; begin, With session, are like statements and Decleir, and I'd forward-looking call, Johnny our made Allan may during Strickle, including remind include our to Actuarial the we Burrows, Officer.   Before everyone our the CEO; statements. time. management's of and are information a number risks These uncertainties assumptions developing statements subject and over are current assessments based emerging and upon and to uncertainties in filed report described earnings SEC. release and third-quarter risks annual These recent and are on press our our with most XX-F Form the Both these are basis on website will expectations reasonable give when in reflected believe at fidelisinsurance.com.   Although can available be the achieved. expectations that a our statements made, that have assurance forward-looking we we no results those implied. differ expressed actual may from or materially Consequently,

contains U.S. to Form X-K call For statements us the pricing more furnished non-GAAP measure which I'll for factors harbor Dan. is earnings our turn over report our fidelisinsurance.com.   With those SEC our that well as that, affect future certain on by measures index, release in our current and the website also are which in periodic investors performance. press available The on the to press our from can definition with of reports of fidelisinsurance.com financial SEC reconciliations each the financial that as available renewal our and included non-GAAP GAAP regarding at and RPI, be make to is earnings our may time.   Management yesterday, found the other safe information, will should quarter to release review reference filed on performance, time with forward-looking website, risks including on third

joining everyone, and Miranda. us. Good for you, Thank you thank morning,

once underwriters, the portfolio. to As usual, returns we have few more steps to the Alpha taken of to our detail. to a a In make risk-adjusted before through and optimize third Allan comments quarter, resilient demonstrated our I business, again the access our quarter over the go in strength handing will we through

track executed across against our disciplined and continued top-line driven terms increased focused management our global quarterly strong quarter sustained team rates, results preferential also the continue XX%. Despite rating of written Year-to-date, delivered remain gross our in line as overall verticalized our we increased by of leader of have disciplined written as capital we terms, for market We record growth and And in natural share to program. year, the growth course to achieve with premiums active last catastrophes, full an repurchase RPI we we as to the underwriting.   Gross on XX%, execution year.   We robust and premium portfolio by offer market. XX%, leverage an from the benefit our with a profitable conditions. premiums a we position and of approximately XXX% the compelling strong in value a with quarter for to deliver environment strategically by

Lloyd's on XXXX, Xst. This business first marked period the transacting quarter Syndicate of which through launched July new our

opportunities delivered we direct while market marine in areas Property opportunities disciplined our risk.   Finally, growth, by by gross creating our XXX%, base detail, written, criteria strong lean more expanded segments client prior discipline our at three rates a also gross our quota subclasses underwriting Specialty, both a of both participation strong where Facultative. meet growth business. credit of new maintained we growth client have XX% ratio aviation, quarter premium still annualized we opportunity Strong major to such investment is And in across As our Reinsurance which political strong to following Both and share. into operating premiums in in XXs through Reinsurance within and retention operating driven target reminder, in high Bespoke, closing advantage remains ratio premiums are and a saw and transactions significant market expanding XX.X%. the again lines. that of by Direct and a Marine, written gross rate RPIs The our business XX.X% RPIs and for in hurdles.   In with relationships is our in attracting in across as adjustments is remained ROAE notably & participate to rating bringing most of with approach years of and XX.X%, bottom-line continue syndicate compelling existing and in XXX%.   In new at we number mid structured around In new resulted Bespoke.   Looking a of ROAE of our year-to-date, the annualized new we of leverage year-to-date competitive, delivered also addition top-line increased to across leadership taking delivered combined with cycle.   We in the performance, combined quarter, construction. variable within profitability segments, XX.X%. all XX% the driven positive

active strategy. capital management a Finally, cornerstone our of remains

buy into While team.  I'll to by Ivy, the of the our shortly.  In I'm allowed Allan initiated position dedication strategy very it detail wholly quarter, over into our through results of negotiated Since we our underwriting including broader $XXX us first shareholders. Platinum also strong one business, capital long-standing our management results more with we year, we third have shares, execution pass owned go will more to transaction capital detail. returned dividend million pleased a and beginning our to subsidiary privately our walk the of our to reinvest quarter to back financial ADIA, continued this summary, at priority our now buyback is return the in in programs ongoing with this displayed of share to remains has shareholders. Allan to and shareholders.   During third a the excess and who capital

last operating catastrophes, common year, also Against million. the We growing diluted million global return or we generated quarter of on of XX.X%. $XXX income per equity I'd same annualized $X.XX and and had by an joining $XXX average backdrop of operating active everyone share our excellent earnings XX% net to natural Dan, welcome compared to third-quarter growth to the Thanks, top-line like call.

premiums We now of XX% value year-end quarter by Dan's from book from increase with an or $XXX and delivered to or million.  Turning and on ratio, of $XX our strong versus Consistent primarily Bespoke business growth XXXX XX% the with at of increasing Specialty per increasing by gross of gross the net was XX% share, diluted third last a continue XX% increased by and combined million, quarter.  Building to to growth which stands quarter. of $XX written driven the comments, X% common our increase or we million, XX% $XX.XX, $XX the rate our in increases of new grow Reinsurance premiums by earned quarter for written, ratio million. our by increasing premiums an XX.X%

Boris versus the offset ratio ratio our $XX in agreement of the the during XX.X higher quarter prior variable of most Storm and benign combined to by discussed ratio these events U.S., prior is $XX The for the expenses $XX losses aerospace third the segments, million combined to were Notably, ratio the of catastrophe had commissions year across Reinsurance was or combined prior year. of by $XX X.X in million, third $XX expenses. and several context the partially million, development the XX.X our million commissions. better-than-expected improved with in effect.  And quarter. and period. of Looking for quarter. quarter. loss of by XX.X year to period, loss line with for accounted year This in prior Catastrophe of and XX.X% for the $XX increase points of quarter, Hurricane experienced of reinsurance all period. Of including $XX commissions into improvement prior Ireland. This acquisition accrued notable specialty line were XX.X% increased in development the their with X at consistent the finally, prior which emergence million, impact Of attritional These even of attributable combined segment, third a prior losses net attritional year level general was points the of specialty delivering of to increase an compared parties reflecting in of the the in driven driven profitable loss earning the Fidelis aviation or the was and $XX in XX.X% $XX quarter variable for points European to since of the by in $XX which compared impacted commissions increased commissions a year for impacted and second The the loss particularly points the detail, ongoing losses period, were million quarter, had year the components our million. the property $XX adverse we quarter both million to Specialty U.K., were third the driven estimates lower trends quarter on benign Helene favorable X.X generating million in in business.  Turning full losses quarter, of in large was Bespoke administrative for the D&F to and activity X.X from the attritional terms of increased, was which line primarily by with ratio million points the is the went jurisdictions, $XX quarter, XX.X% our experience. to as million business emphasis the segments.  We ratio ratio this, growth.   Our compared from The period. million loss our period gross million, expenses Reinsurance prior profit Bespoke points partnership million. premiums in prior XX Policy in year quarter, year in the in points related $XX more of underscoring our was the or $XX losses the compared the our events multiple Russia-Ukraine Specialty and in litigation

with in income year fixed net assets third compared compared Our increase investment a investable the and million for $XX yield period, of reflecting to higher the the quarter prior year an in portfolio period. prior XXXX $XX to increased income million

yield We those a first into a proceeds fixed-income book of reinvesting X%, We longer-dated selective $X an and of approximately with at is an of average an the of proceeds, $XXX securities fixed-income XXXX of increase continued the quarter in quarter and securities flows high the securities which is from the securities.   Specifically, started portfolio longer-dated million. selling in Duration sold XX, rotation the reinvested with we of purchase securities. realized loss cash with portfolio with purchasing yield of very of of resulting AA- higher-yielding average million at million portion positive along the of $XXX the since a book yield a result with year-end second X.X%. At X.X%. remains September consistent years, into rating X.X average as by

work to continue investment generate overall on We opportunities our opportunities. comments on Dan's and risk-adjusted focus value-accretive towards portfolio look we optimizing to regarding capital continue management, ongoing investment for pursue our returns.  Building superior to

into first by Our reinvesting growth the priority business deploying attractive remains in initiatives. capital

optimize capital, And outward seek it our to announced had through last million we reinsurance program. to look and Additionally, to share mentioned the $XX repurchase completed continually combination earnings purchasing. was share return dividends have we previously we of our we call, a it that excess when opportunistic buybacks.  On shareholders

our price million an now back is $XXX total This per common repurchased repurchased and a highly book of at new average shareholders share The shareholders. our from we privately purchase value negotiated per had Ivy, of of a basis during additional our current to program for X.XX ADIA, earnings Additionally, Dan XX% up a market approved on share to one we both includes common and it transaction that value quarter.  I who have common announced our the accretive thoughts will an the book long-standing approximately million million the remains wholly-owned outlook. X.X that's shares diluted completed shares authorizing including we subsidiary that Platinum on of $XX.XX. shares. Year-to-date, remarks, of of aggregate through the to turn Board

Thank you, Allan.

market. see led have one business areas adjustments to environments lines have Significant of across continue in years. of Looking across multiple seen we opportunity ahead, best-sustained the we year-on-year the pricing rating of to

continue at maintaining Although we the out scale positioning focused to opportunities. remain our discipline and seek utilizing and on new rates might not pace, acceleration same the our of

are client and retention in enables leader rates As advantage mentioned, first as at it increased dynamics segments. aviation begin achieve particularly marine such a as conditions.    Delving fourth better as provides deeper market, is where being a rates underwriting remain some looking continue remain, verticalized look are In pressure to into within high, growth a quarter, see Certain opportunities to we the each terms, and have opportunities we levels and for at to a of competitive Specialty, property business the our attractive attractive, in us experiencing direct, sectors demand. and moderate. rates,

leverage, However, maintaining discussed, risks cross-sell size, in line our best our direct the attractive ability as to we've we to line, product enables to and flexible we believe all this underwriting and and underwriting access substantially price deals. our multiproduct products most of while class. This us nature given each strategy Bespoke, opportunities us compelling the custom integrity.  In provide lead find

attractive risk, with in these policies flow, from remains and continue in year. as XXXX, our to previous results opportunities While perspective. credit currently into we and deal the see highly the pipeline the we profile fourth risk-return structured to variable tailored particular, of In is political strong tracking a look and quarter

recent accounts last actively are the remain regional should rates also events support opportunities we we believe discipline and see points, current track our of view we adjustments, we favorable, consistent will Milton, in market while reinforce to prior including X/X leverage and that in new as dynamics Helene loss-impacted year. market discipline. in for Reinsurance, persist, that year and is price catastrophes, should on and pursuing corrections pushing our what especially be relationships attachment time weather relation terms, record Certain Based conditions. date, with around saw these expect this for allocations to We and strong market higher industry.    Finally, to

long-term of our optimize the with post-quarter reflects reinsurance. At taken. big million range an have $XXX which Hurricane we storm line of of losses course, billion we net based to as reinsurance We on preliminary Milton, industry manageable key This losses strategy.    Looking ahead of event was, the and part engagement relationships of with our point, time have for we from portfolio, view outward XXXX, to net partners. strategy. which a our of building our their strength across a spent significant This ensures breadth pretax million is to our our discussions approach Outward in for XXXX. quota quota core catastrophe outward to we we the currently We Travelers our our of maintain process $XX our to program. $XX shaping portfolio negotiations around range remains this risk.    The bond of reinsurance of reinsurance expect share targeted the includes to products and relationships, aim our in be reinsurance continue of $XX book, end and are this a on This share see billion. between remains

objective to an opportunities program to continue pursue accretive provides Our growth. across that outlook portfolio robust protection.  Overall, we portfolio, for remains build our

million our we well our to through opportunities X, of a Through instance, opportunity to As leverage strengthen and our support XXXX we to basis. finding expertise Syndicate other XXXX.    While announce partnership distribution the to capacity Fidelis portfolio, our new January cross-sell gross on the for in to partner, a are our strategic evaluate a new commencing initiative, and partnership to evolution an process Fidelis opportunities enhance we attractive best-in-class end, line partner collaboration, continue remains Group, new planning in is with $XX is portfolio. natural as partnership, new markets business diversify This cornerstone to this Insurance to will our will long-term into provide this new Lloyd's Brooks broaden for estimated in number and proven reinsurers that are the of journey approximately of written as also annual Euclid with Euclid that to clients a and reinsurance believe on To we channels Fidelis as work alongside underwriters. we produce Mortgage products. For participation XXXX, a provide Mortgage. partnership excited we with for opportunities premiums opportunities new capacity and both markets.  To provide growth continue

profitability.  In pleased the our strong growth sustained team, are goal anticipate mortgage the credentials our with we the in contribute of of business. will U.K. overarching to and Given momentum partnership we this conclusion,

is results. our our in our successfully risk-adjusted our reflected lead continue to returns optimizing third-quarter on We strong underwriting to scale generate and alpha.  This execute positioning strategy, and leveraging

As creating now we we our to on to look the for your hand value operator. and strong shareholders.  I'll questions. remain performance continuing back We look forward focused very deliver it to ahead,

first with from Matt JMP. comes instructions]. And our line Carletti that, [Operator of Citizens question the from

you past, was I And a comments. a you the in could wrong, And maybe X changed, in -- is that of is know but the new that dollar around hoping aviation? there. with in kind set then model of dig you I'm what adverse parts of of to what for you was a reserves piece how of I to the question. Dan, you've to you've kind built the pretty bit kind little kind just net, describing edges One process talked adverse was the amount aviation guess business get a about secondly, the opening I described get kind on the but the that think I to kind in probabilistic event. what in what what of number? the it to of a changed unique just the

think market think quite Thanks, it's these question. we When Matt. about when a Ukraine particular. Russia in Great complex about event we and issues,

about to more to it and So detail. talk to over Alan Johnny pass that I'm going in

Yes. Thanks, Matt.

$XXX the million. the in have in in was our our As of aerospace specialty and specialty approach. adverse Year-to-date, development favorable There's our development seen portfolio, of driven change of offset across been and U.S., emergence multiple in loss no our seen and million, better-than-expected U.K., portfolio by This by I $XX entire of development in in business. property D&F we favorable line we've mentioned Russia-Ukraine litigation in in remarks, context my the prepared the Ireland. in increases aviation was jurisdictions

robust quarter we We Specific that again, in from a approach process. quarter, continue of philosophy in based our change experience. the employ been reserving of consistent same and a quarters to maintaining methodology remain there's as our don't methodologies or a past, Russia, to on Ukraine, lighter no heavier to change and couple the

pluses of offsets before give you and Can much in adverse. to D&F net minuses dollar least at the and you aviation, how elsewhere? give $XX the the the added reserves -- was you million from Can

As of We're further Matt, and it's detail, event. that disclose you to a in comment complex line detail. appreciate, not we don't can by able level

for could, peer I question if follow-up, pointed that market at you, at Earlier season, a from your one finger then of I sense the the very kind terms in get being reporting probably didn't least big a of in good And the the London world. Dan. view of competitive.

aviation, but beyond just I'd mentioned could if give you that. be perspective. your curious You

know You the guys competition the obviously well and like looks kind London and incredibly market of what level.

question, actually, Matt. good Really

So scale we take clients. your to We across leverage of the think the as I lead use before, that said in comes think we offer important very capacity you that the that positions with terms to portfolio. that's

So all as in we and start place reinsurers. don't insurers the same

you As preferential a conditions. and terms do leader a verticalized get market, in

if of We've and putting the on not capacity combined but the direct we approach. a layers, in look we're our grown primary are a think we in side. going lot the quarter, very something a you doesn't different very about proud underwriting XX% very XX% when think substantial year-to-date, is the excess kind has layer, opportunity the hurdles, experience Anything So in the we're ratio. specifically a I integrity, out compromise of that take on that a in to at quarter line million a of, property disciplined meet growth program have you're seeing D&F.  So D&F some on we $X for that

nimble, it's out from about So it's it's but comes think service opportunity about you the we a about working market. there, of being do leader the and the it's being about that I harder, see in leverage deliver, a lot

a that we London So business. don't know but remember, just global place. same say the start we important in to all I'd very do also are well, And we

from Shields next Meyer of line the question comes from Your KBW.

pricing still the guess, about, preferring Over compared wondering D&F for lines. we're in the what holds given in seeing that reinsurance. of XXXX, course those X I catastrophe whether you've And to talked different returns I'm property

Good question. thanks be Meyer. to Thanks, the for back, and

coverage, superior. So we and I only a talked we think uptick significant we about have the But in XX months what was the seen we pricing, in terms what conditions. D&F, in seen -- is not Reinsurance have over last attachment felt D&F, margin points,

seen underwriting can as And many So daily, you on. side in in reinsurance to times opportunities that compare have as contrast. day, many call is have execute that real-time, appropriate margins a the the and that have favorably on compare UNCCL we're X more sometimes able we what we

and our we're that's think why conditions increasing we've And grown pink D&F So complement very well leverage the a our very there. to business. again, things I done strong I that only other terms each believe we've And the approach exposures.  So whilst that able X have portfolio. and moderately to we

nimble, modestly we've of lot So I only XX% think seen opportunities. it's grow being we've been year-to-date, a but about said, I to increasing able exposures. And as

for the insurers And mortgage then ratio the gears, to point? mortgage expectations at sort the loss think should similar to as primary this we relationship of or Euclid of reinsurers switching

Thanks, I'll take one. Meyer. John that here.

on partnership, beat that of that meet the as as all and I think said business. I is Fidelis And bespoke players, something opportunities primary well types we've mortgage that's we'd different expect the say seeing would or a within similar we our it's to whole. is fits at of outside portfolio them that a set, there's partnership look Fidelis high it where but to bar

question of from next Omega. from Lee Your the line comes Cooperman

And attraction of which I Appreciate revenues? an expect of writing now, the little analytical, versus what up in I'm you you not I'm very seem good. how And track a lower you business, guys just things top-line expert stock the revenues, XXXX? Would higher magnitude kind anticipate help. would What growth but of versus change? you this you relative curious of in more is as need stack repurchase results. business. XXXX bit

question. Dan Leon. Really Thanks, interesting It's here.

ways. When strong to a we a want underwriting we growth, underwriting growth. position, of couple firstly, think capital think it look I support profitable at we about in

planning been just through So we've the process.

think good results. there's we've top when we also an the I think the capital course during produced about value and management On the opportunity the and of really book when that, XX% we grown price, year, share look of at side, there.

back been able in we've together year, $XXX position, the of XX%, that looking and shareholders things this the I to that something capital give to through million book also marrying region we to on grow So excess you we'll share but those capital continue have because side, forward strong a buybacks.    So dividends think X do that with have.

think maintain early look on the growth should make we for predictions I say would of is able target next when parts the we portfolio some year. be too to it's to that ratio. What we our bigger at of

So to an XX% XX% ratio, high elevated of in that's that XX% and XX% ROE. the mid-XXs to XXs market, combined kind to

look we the the do business, to sectors we activity within when think So at cat the give the discipline market. recent will

what year. this last be terms to and time saw we we with consistent expect conditions So

the with time. excess Sorry, mountain. we top we capital good going the long phrase -- be here a we're the to up of management That's the There's coined to see profitable growth, We're but at capital. also market. for That's how very going much we're oxygen. of plenty

is deem amount would you capital excess currently? What your of

we publicly. Yes, don't that disclose

response. me, Excuse that hear I didn't

actually disclose Lee, publicly. we that don't Sorry,

with I is, at selling look a incorrectly? in Do that's at it a book most of when at looking premium be it to in area to way? of equity I the think a look to in I'm Or was same and value. XX% big or it struggling company could I your guess discount you what the am guys announced terms at book a XX% of earn not value hundred you companies, million, intentions. buyback I couple at What But

grow We an it opportunity undervalued. We quarter-on-quarter we business is at capital performance, same by exactly our but we've capital want favorable the we partner. we off, of managing cornerstone got. conditions, But buying way. first there with accretive good with have We are to profitably the where market to shares back see think look terms in deliver appreciate any excess great a that and very

line question JPMorgan. from next from the Singzon Your comes Augusto of Pablo

So last in what G&A earned this year. your or factors quarter, over whether terms otherwise? Was light, of for or anything whether outlook a in premium this there of And percentage this was of about quarter seasonal line unusual item? growth little is terms

XXXX. question. Thanks think for bifurcated No, that early I we the in

Our It's sort this some But G&A be I a going large of is we're expect Nothing quarter. inflation we extent. or run of plus think at rate, minus going stabilized to has the to where unusual forward. this forward. -- kind

And the gross are on of timing into GPW pickup given the a being in premiums implying then earnings release negative quarter renewals XQ certain you 'XX? this about written, commentary a the in going

in and lumpiness. don't Specialty also that think specifically is some there segment, just QX there's Bespoke some I No, especially timing and -- be between some our QX, can but in our segment, there

quarter. what magic there's to the premium each So be will no real

will be from different last quarters year. deals Some

here. Dan it's Yes,

of this growth quarter, in direction. very if last right at this quarter, some then growth I you seed-driven. think the think look XX% But is we're And much moving about

from from comes the question next Markets. Zaremski Your BMO Michael line of Capital

seller additional could repurchase came on color the First, any provide deal that if how start done you the sell and whether the then of private open any Can about shares repurchased in will in market? just the if the just I share transaction? quarter on more? And were

shares in to and Platinum we of quarter, calls to continue it's repurchase shareholders. Ivy one to where evaluate again accretive mentioned we our value remains and motivations. As opportunities our perspective, them. can't our transaction it, this prior speculate an we reach beneficial viewed said, their pleased From shareholders, we on I mutually with as a long-standing were accretive to and as We added transaction.

as $X.X which open market million, some purchases of quarter in million the were there repurchased $X.XX Our were shares were from ADIA. So well.

Aerospace on little And then I'll to bit. back up a just going Aviation and follow

going Russia, is should the also underwriting that maybe about? Or criteria. Ukraine? GBW because we on there Is on particularly quarter's that in else related that there hurting to Just anything thinking hurdles this line of and be

It's Johnny here.

a So from of the no, dynamics that some events view periods. we of happened of Russia, line business. more that the aviation particular, that that's see Ukraine. the In had general relation business market not line the start just increases That's at other might rate to in recent we have in in year, over

hit through Some that of opportunities come haven't the the those and that's some hurdles we of the not year. business. over haven't Therefore, we run set

important are this it's stress integrity And real there the advantage was sector aviation not a the this are think year. business the nimble. business. we earlier certainly, that underwriting to we for growth. I market new going just expecting wasn't to compromise that That's within But of

line the Your next comes of from Motemaden question David from Evercore.

the just ratio. a on to the question, that driven was It it first looks Allan segment. My looks bit guess, It like acquisition by was is I Specialty like higher.

I think wondering you variable ratio just elaborate had mentioned changed commissions. little forward? on on could And know, to your a acquisition that view going wanted if has you I bit. some the was

this David. Thanks, costs in drove increase Yes, Yes. policy the specialty acquisition quarter.

payable XX.X underlying increase commissions the driven business the million $XXX cedent were underwriting or prior Feds This Excluding underlying quarters to there. on combined from points commissions and to variable the the quarter. the ratio there in partnership, to higher was due

back. a are So these as built goes there profitable, commissions can results of very you the commission where contracts profit profit appreciate some that there's into are

that are shows really and loss it linked acquisition So ratios here. ratios

lines, rate.    We year X significant commissions. variable certainly as business higher into were also there a a our or specialty over gain as run not business. as our result, of them leaning think written bit more I property we of the and little a As ongoing lumpy, in have, lines more noted, change last would

our So that commission ratio. affect can

rate? at XX% I guess of we acquisition decent a And ratio sort half the the I should as the thinking be be a run of guess shouldn't company, we so total But guess, going forward. for year I looking first about

I say would right ratio X Specialty the across months, to the of the XX% in first That's first sort portfolio. the XX% X-month is exactly rate David. the and segment it, of

you as XX% stable for about think to are how guys ratio I next that well? Dan, had you mentioned just XXXX take XX% the I mean Should ROE also also combined is year. thinking expectations to

got Yes. I mean X go. it's this weeks probably -- to of still year we

it. don't still So update that see we're QX very range. but much to any reason return focused on definitely we'll change that call, the in We on

would look we at how that's think I yes, it. So

much with pretty So you're line what in saying.

Your the Goldman next from Sachs. line Cox of Robert question from comes

while to about property able decreasing, it looks at E&S in was your peers least U.S. the many pricing market. Dan, pricing flattish talking were stay of roughly like quarter-over-quarter, significant

in it or curious other lines. benefiting if it's of to I'm there to about seems relative many if that you're the is quarter be leadership and simple. So these are thinking But from nuances like to Fidelis position the achieve that able how

important, and harder. Service trust leveraging and I leadership a important, But just the it's broker, like which working That make across it about, a true very things. position does is number know cross-selling talked available, also it's just a really think client I being think obvious necessarily of with and everybody the is I lines sounds not me, thing, but product we really really of difference.

they partnership I but So business. I it know lines, new Fidelis the sourcing who like sound anyone throw-away than is don't in works think true. harder

But deliver. gives mixture partners So it we yes, but continue are kind the also to of think with being the cross-sell leader things, greater of look I to you and as our them leverage. cornerstone a much of to to ability starts beneficiary a those we it's and that,

just still pretty reinvest the the and puts And the to the if yield follow-up. like and then could trade-offs I to if of trajectory had talk NII duration. curious about at and looks you continue takes there's still It here room extend higher investment some sort from improving rates. I to was the income, like seems you a good in made on well. is quarter It net just

for question. the Thanks

need we're As investment XXXX, we yes, pleased where we've the this I income, a going still optimize portfolio think to glide that's but securities get X.X% that year. we decided little are of to we Yields average But We've realize with book, to well a high-quality managed remarks, forward. continue of portfolio. pleased always overall the needed. purchased path be going are. some X%. securities investment we but optimize book what we but specifically when looking yields quarter, this were to we're And to jumping to XXXX again, we're done to maintain back given terms in with as and at said in the in my purchase our new little we'll prepared have very intervention, bit yield now. quarter where in a We the loss a X.X% and we Fed duration to We're think extended -- right sell around where we bit, our

comes [Operator from question instructions] Your Jefferies. next the Yaron line Kinar from of

view large think them quantitative maybe attritional discussion I you guys we've around differently? you and provide the discussed or how the this relationship qualitative could and losses in but between either past,

poor its threshold, got business work the cost ratio can be don't key a start over there I if cost losses specialty, at for look differently, the to over extra we the We good the between of runs the you we of segment, that at of a comparison moved back much in so your view then because is between look overall you for particularly and step due a some as really business ratio distinction make of to two lower guys much that's We don't a If bucket, draw the are at higher and to and losses. it metric quarter. but have the that losses which judge to look sourcing large a first that has bespoke individual of profitability a thing single the like combined look a within distinguish have that there, higher the and that really on particularly expense loss a got them but large lower in can just to you largest in show breaking from if portfolio. the ratio.  Then I loss it have reason because information the business. is really back, to, ratio something it acquisition ratio, And say, but make of attritional bit different has it attritional costs. loss acquisition a acquisition and The a honest. couple here, don't loss slightly cat

a too of much take view more we granularity into look holistic beyond that. much So the overall position and don't

think that activity I commentary guess in during the we of your year-over-year? should benign about more how remarks prepared about context the attritional maybe

Yes.

going a therefore, last year, but of year we and think over a going just the attritional where also were losses large this benign to still it's threshold when activity over the we couple bucket. into cat the year is true. There impacted I that's compare by

have look those would been, So the less, attritional year-to-date, say, example. a for couple higher slightly dollars of million then

in quarter mind So There or one medium just too those artificially the too in over the events under. if or it's experience keep any benign look low attritional is true. I period, over but can that high creep a

Your question from Cooperman comes Omega. last Lee the of from line

but Just not a the diluted quarter, fully The share end question. the share at count. the of average, actual the count

as a And the published have last statements we $XXX,XXX,XXX. of at count the we share in financial evening,

So your about relative as make stock. business opinion. a we this regarding decision-making stock of that would writing back versus attraction conversation, mispriced say I to to in is the listen quality have I new judgment just your the of But buying my totally

to If you on you XX% premium could a to value. XX% deserve return equity, at book to do sell

your much to market. back you you encourage can But stock can, to discount you the performance. as a particularly for thank if So I as to would buy you get

back question-and-answer remarks. for like to to today's Please Burrows Dan ahead. the call concludes turn session. I'd go closing That

We appreciate continued success. our Thank are we well strategic that company, with you, and your pleased truly interest today. this initiatives us everyone, the and quarter us for for joining results in the position

call. remains take are operations. ongoing to delivering the if now it enjoy the are to of please there support. the value I'll calls. at here over day. of shareholders unwavering to to your rest to we We appreciate And pass the your follow-up Our operator commitment your end any Everyone, our our questions, forefront

call. for this your you much very Ladies concludes and gentlemen, today's Thank conference participation.

You may now disconnect.