$PFH

Prudential Financial plans to revamp its Japan and broader international operations by exiting parts of its footprint and reallocating resources to investment management, group benefits, and retirement. The company says it has taken steps such as reinsuring part of its traditional variable annuity and guaranteed universal life portfolios to reduce risk and improve capital efficiency.

Prudential Financial said it will exit emerging markets and redeploy more than $3B toward retirement, asset management and U.S. insurance. The plan targets about $750M in annual pretax run-rate benefits by end-2028, up from a prior $150M by 2027. Q2 retail annuity sales rose 14% to $3.6B. Prudential expects POJ sales to resume Nov. 5.

Beijing began charging income tax on offshore insurance policies sold in Hong Kong, with early cases in Beijing and Hangzhou reportedly applying a 20% tax on policy earnings. FTSE 100 insurers and banks Prudential, HSBC, and Standard Chartered fell sharply after the reports. Prudential lost about £3.6bn in value, HSBC about £18.9bn, and Standard Chartered about £3.2bn.

A financial results roundup covers multiple insurers and MGAs. MetLife reported Q2 net income of $705m and adjusted EPS $2.43. Prudential posted Q2 net income of $985m and record individual life sales. Corebridge reported a $16m net loss and merger approval. Palomar, Heritage, TWFG, Root, Trupanion and Clover Health also reported Q2 figures and guidance updates.

The article says US insurers’ Q2 2026 results show a split between falling property pricing and rising casualty pricing. It cites Council of Insurance Agents & Brokers data: commercial premiums down 1.2% in Q1 2026, while commercial auto rates rose about 5.8% annually. Examples include Allstate (combined ratio 86.6%), Liberty Mutual (net income $2.6B), and Zurich’s $4.8B H1 profit with its $4.8B Beazley deal on track.

Hong Kong-listed insurers including Prudential and AIA fell after Caixin reported China’s tax authorities are applying 20% personal income tax on returns from Hong Kong insurance policies, such as dividends and interest on prepaid premiums. Analysts said it could tighten scrutiny of offshore investments and slow mainland-linked sales. Reuters cited no response from China’s finance ministry or regulators.

London-listed insurers and banks fell after China began taxing some residents’ returns from offshore insurance policies, according to market reports. Prudential Plc shares dropped as much as 13% and closed down 6.4%. HSBC Holdings fell up to 6% and closed down 4.7%. Standard Chartered declined 1.6%.

Hong Kong-listed insurers and banks fell after Caixin reported mainland China began imposing a 20% levy on gains from offshore Hong Kong insurance policies bought by mainland visitors. Prudential fell 5.9% and AIA dropped 6.6% in early trading. HSBC fell 4.1% and Standard Chartered fell 3.4%. Goldman Sachs said it could weigh on shares until policy details and sales trends are clearer.

Hong Kong-listed insurer shares including Prudential and AIA Group, and HSBC, fell after Caixin reported China is taxing offshore insurance income. The report said Beijing and Hangzhou tax returns from Hong Kong insurance policies at a 20% personal income tax rate, covering dividends and interest on prepaid premiums. China’s finance ministry and regulators did not comment, according to Reuters.

European stocks closed near flat but at a fresh record, with the Stoxx 600 up 0.04% to 657.14. Gains were supported by earnings: Glencore rose 4.1% after first-half earnings beat forecasts, and Heineken rose 2.2% after profit beat. Novo Nordisk fell 4.3% on Wegovy sales miss and CagriSema trial setback. Prudential dropped 6.4% on offshore tax reports.