What is Embedded Value?
In this glossary, Embedded Value refers to: A measure of the consolidated value of shareholders’ interests in the net assets and future profits of a life insurance company, excluding new business value.
How is Embedded Value used in finance?
In finance communication, this term appears in contexts such as: "Embedded value is used by analysts and investors to assess the underlying profitability of a life insurer, apart from new sales."
Why does Embedded Value matter in finance?
Embedded Value matters because it supports clear communication in Insurance contexts for Financial Analysts, Bankers, and Traders. It also connects to aviation training and exam language such as CFA, ACCA, and FRM.
Who uses Embedded Value?
Embedded Value is mainly used by Financial Analysts, Bankers, and Traders.
What category does Embedded Value belong to?
In this glossary, Embedded Value is grouped under Insurance. Related pages in this category explain adjacent procedures, commands and operational concepts.
Where does this definition come from?
This definition is sourced from CFA Institute, IFRS Foundation, FASB (GAAP), Basel III Framework and published by Protermify Finance as a static finance reference page.