Insurance for insurance investing

Shares of New India Assurance dropped as much as 10 per cent during their stock market debut on Monday. The country’s largest general insurer joined four other insurance sector companies that have seen their shares slip below the IPO price after listing. 

“There has to be an insurance (to protect against the downside risk) for those wanting to invest in insurance IPOs,” joked a broker, expressing surprise over the trend of poor insurance listings even as the overall market continues to do well.