@article {390221,
	title = {Asset Insulators},
	journal = {Review of Financial Studies},
	volume = {34},
	number = {3},
	year = {2021},
	pages = {1509{\textendash}1539},
	abstract = {
	We construct a new dataset tracking the daily value of life insurers{\textquoteright} assets at the security level. Outside of the 2008-09 crisis, a $1 drop in the market value of assets reduces an insurer{\textquoteright}s market equity by \$0.10. During the financial crisis, this pass-through rises to 1. We explain this pattern by viewing insurance companies as asset insulators, institutions with stable, long-term liabilities that can ride out transitory dislocations in market prices. Illustrating the macroeconomic importance of insulation, insurers{\textquoteright} market equity declined by $50 billion less than the duration-adjusted value of their securities during the crisis.

},
	url = {https://academic.oup.com/rfs/advance-article/doi/10.1093/rfs/hhaa061/5842151?guestAccessKey=2d46c586-9310-42e1-92fe-080b26d290d2},
	author = {Gabriel Chodorow-Reich and Andra Ghent and Valentin Haddad}
}
