Life insurance companies are generally valued using the Price / Embedded value ratio. But the ratio can be extremely misleading when comparing large established firms with relatively small and newer firms.
In this video, I talk about an alternative to Price / Embedded value approach called as the distance to market approach.
You will learn this with real life example taking the IPO of Life Insurance Corporation.
In this video, we do a comparison of LIC IPO valuation with other listed insurance companies in India to understand the valuation aspect.
