Willis Towers Watson Public Limited Company (WTW) reports developments across its advisory, broking and solutions businesses in people, risk and capital. News commonly covers earnings from Health, Wealth & Career and Risk & Broking, insurance brokerage and risk consulting activity, employee benefits, workplace pensions, benefits delivery and outsourcing, and insurance consulting technology.
Company updates also include product launches such as transactional-risk insurance, catastrophe and reputational-risk research, AI and technology adoption, acquisition integration in brokerage and workplace savings, leadership appointments, share repurchase plans and client or brand partnerships.
WTW's Spring 2023 Energy Market Review highlights ongoing challenges in the global energy sector, including the transition to net zero, price volatility, and regulatory uncertainties. The report underscores rising insurance costs due to these disruptions. It emphasizes the need for governments to prioritize energy security, especially in light of the Ukraine conflict. Insights from WTW experts advocate for risk optimization and reassessment of insured values amidst inflation. The report anticipates a potential softening of insurance market pressures this year, provided there are no major losses. Key findings cover sub-classes in energy insurance and geographical market intelligence.
WTW's Crisis Management Review highlights a significant rise in crisis incidents in Europe, driven by repatriations due to the Ukraine war, making up 30% of global incidents in 2022, up from 4% in 2021. Political repatriations accounted for 24% of all reported incidents. In contrast, the Asia-Pacific region saw a decrease in incidents, dropping to 12% from 30%. Threats were the most common incident type at 28%, with kidnaps increasing to 25% of incidents. WTW anticipates further volatility in 2023, urging businesses to prepare for emerging crises.
WTW's new analysis reveals that investment teams with higher gender diversity achieve better outcomes, outperforming less diverse teams by 45 basis points annually. The report draws from over 1,500 investment strategies, noting that equity and credit strategies report a diversity premium of 46 and 14 basis points, respectively. Despite some progress, only 42% of asset managers have measurable DEI objectives, and nearly half lack initiatives to attract diverse senior talent. WTW plans to enhance diversity monitoring through the WTW Diversity Index, emphasizing the need for broader diversity data collection beyond gender and ethnicity.
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According to WTW’s latest Global Pension Assets Study, global pension assets fell by 16.7% in 2022, marking the largest decline since 2008. The total now stands at US$47.9 trillion. The U.S. retains its position as the largest pension market, followed by Japan and Canada, which together hold over 76% of assets in the largest 22 pension markets (P22). The report highlights a shift from defined benefit (DB) to defined contribution (DC) plans, with DC assets growing at 7.2% annually compared to 4.4% for DB assets. Systemic risks, particularly environmental and geopolitical, are likely to further challenge pension funds in the future.
WTW (NASDAQ: WTW) has appointed Wendy Crosley as the Global Director of Underwriting Transformation and Automation within its Insurance Consulting and Technology division. Crosley, previously at Zurich North America, brings extensive experience in transformation and underwriting operations. She will oversee digital underwriting projects for global commercial clients and focus on developing innovative technology solutions. Taffy Jo Mayers highlighted Crosley's strong track record in delivering effective transformations, which is expected to enhance WTW's underwriting and automation offerings.
WTW reported a 1% increase in revenue to $2.7 billion for Q4 2022, despite an organic revenue growth of 5%. However, diluted EPS fell 72% to $5.40. For the full year, revenue decreased 1% to $8.9 billion, with a notable 76% drop in net income to $1 billion. Operating margins improved to 26% in Q4 but declined over the year. The company anticipates mid-single digit organic revenue growth and continued margin expansion for 2023, alongside $100 million in savings from its Transformation Program.
WTW (NASDAQ: WTW) has announced a quarterly cash dividend of $0.84 per common share for the quarter ending December 31, 2022. This dividend is payable on or about April 17, 2023 to shareholders recorded as of the close of business on March 31, 2023. WTW is a prominent global advisory and solutions company, providing data-driven insights to enhance organizational strategy and resilience across 140 countries. This dividend reflects the company's commitment to returning value to its shareholders, demonstrating financial stability and confidence in future performance.
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WTW launched its Political Risk Index today, revealing significant geopolitical shifts globally. The index rated 61 countries, finding that only 25 lean towards the West, while 18 align with Eastern powers, and another 18 remain neutral. Notably, the Western bloc’s influence has declined sharply, with just six countries classified as strong allies of the West compared to 30 five years ago. The report also highlights increasing risks in countries shifting towards the East, such as a 7% rise in expropriation risks and declines in political rights and economic freedom. These changes suggest a growing challenge for businesses operating globally.