Analyst Note
| Brett Horn, CFA |Chubb continued to benefit from a harder pricing market in the second quarter, and underwriting profitability continues to improve. While the investing side was a drag, we think the core annualized tangible return on equity of 19% for the quarter was a strong showing for the narrow-moat franchise. We think disciplined underwriters such as Chubb have more leverage to better market conditions, and that appears to be playing out. We will maintain our $193 per share fair value estimate.