Question

Make a list of 5 sectors heavily impacted by the COVID-19 pandemic and explain why that is the case. Also make a list of the 3 sectors that have shown the potential for gains and growth during the pandemic and name the top companies in these gaining sectors. Along with the lists, please explain why you think such companies have the potential to grow given the current situation. Provide details into what the company does, how it operates and especially it's stock performance, which are important aspects to consider when investing. The basis of your inferences should be an analysis of the stock performance of these companies, stock performance and how it operates.

The answer needs to be well detailed and it shouldn't be answered with very little detail. Please answer after reading the question properly and answer the question with details.

Answer 1

Answer

List of 5 sectors heavily impacted by the Covid-19 pandemic are mentioned below:

1) Industry

2) Airlines

3) Auto Parts & Equipments

4) Oil & gas drilling

5) Casinos and Leisure Facilities

List of 3 sectors that have shown the potential for gains and growth during the pandemic

1) Insurance

2) REITs

3) Pharma & Chemicals

The name of top companies in these gaining sectors are:

1) Multi-line Insurance

2) Life & Health Insurance

3) Property & Casualty Insurance

4) Health Care REITs (Real Estate Investment Thrust)

5) Industrial REITs (Real Estate Investment Thrust)

I think the top companies in these gaining sectors have the potential to grow in the current situation mainly on the basis of the least impacts by Covid 19.

The Insurance companies like ( Multi-Line Insurance, Life & Health Insurance, Property & Casualty Insurance) and REITs (Health Care, Industrial) industry sectors were least impacted, yet still showed rising PDs.

Details of what the company does, how it operates and especially its stock performance, which are important aspects to consider when investing. The companies have been classified into Insurance Companies and REITs (Real Estate Investment Thrust)

1. Insurance Companies: Insurance regulator has asked insurers to cover Covid -19 cases in their existing policies as well as promised expeditiously attend to such claims of Covid -19. Insurance companies have also come up with exclusive policies for Covid-19. The Insurance Regulatory Development Authority of India, has declared coronavirus treatment would be covered for all policies like any other illness or disease “under products where hospitalisation is covered”, including the cost of admissible expenses and treatment during quarantine period. Besides, the government will provide medical insurance cover of Rs 50 lakh per person

The insurance regulator has asked insurers to cover Covid-19 cases in their existing policies as well as ensure that they expeditiously attend to such claims. The Insurance Regulatory Development Authority of India, in a circular issued earlier this month, said coronavirus treatment would be covered like any other illness “under products where hospitalisation is covered”. For all policies covering the disease, the regulator also directed the companies to cover the cost of admissible expenses, including treatment during quarantine period. Insurance companies have also come up with exclusive policies for Covid-19, which has so far killed 19 people in India and infected nearly 900. Besides, the government will provide medical insurance cover of Rs 50 lakh per person

Existing Policies To Cover Covid-19 in India are:

Aditya Birla Health Insurance :

An insurance policy covering all infections including coronovirus considered as an infection, according to the Chief Chief Executive Officer Mayank Bathwal.

“The indemnity products that offer hospitalisation covers, in-patient treatment, pre-hospitalisation, hospitalisation and ambulance cover are available for all customers to fight against this pandemic,” he told BloombergQuint. “Simultaneously, they are planning to work on an exclusive product for coronavirus.”

Edelweiss General Insurance

An innovative and modular product structure with label as ‘Group Total Protect’, under which customer can customise solutions to provide cover against a wide range of illnesses, including pandemics and vector-borne diseases, at affordable costs,” Shanai Ghosh, executive director and chief executive at the insurer, said. “Any employer or other existing groups can customise this for their employees, customers or members.”

Also, all Covid-19 cases—suspected and confirmed—are covered up to the sum assured, Ghosh said. “Even for quarantined patients, our policy covers the entire quarantined period.” IndiaFirst Life Insurance The existing life insurance policies will even cover death due to coronavirus, Managing Director and Chief Executive Officer Vishakha RM said in a media statement.

“All life insurance policies issued and valid as on date of event covers the event of unfortunate death due to Covid-19 illness.”

The insurance industry is likely to shape up to the unfolding crisis in its stock performance. Companies forecasts is a great disconnect between how far stocks are down and how much estimates are falling.

2. Real Estate Investment Thrust (Health Care & Industrial)

Health care REITS own and moanage a variety of health care related real estate and collect rent from tenants. It include senior living facilities, hospitals, medical office buildings and skilled nursing facilities.

Industrial REITs owns and operates, income-producing real estate. It also owns many types of commercial real estate, ranging from office and apartment buildings to warehouses, hospitals, shopping centers, hotels and timberlands. Some REITs engage in financing real estate.

Answer

List of 5 sectors heavily impacted by the Covid-19 pandemic are mentioned below:

1) Industry

2) Airlines

3) Auto Parts & Equipments

4) Oil & gas drilling

5) Casinos and Leisure Facilities

List of 3 sectors that have shown the potential for gains and growth during the pandemic

1) Insurance

2) REITs

3) Pharma & Chemicals

The name of top companies in these gaining sectors are:

1) Multi-line Insurance

2) Life & Health Insurance

3) Property & Casualty Insurance

4) Health Care REITs (Real Estate Investment Thrust)

5) Industrial REITs (Real Estate Investment Thrust)

I think the top companies in these gaining sectors have the potential to grow in the current situation mainly on the basis of the least impacts by Covid 19.

The Insurance companies like ( Multi-Line Insurance, Life & Health Insurance, Property & Casualty Insurance) and REITs (Health Care, Industrial) industry sectors were least impacted, yet still showed rising PDs.

Details of what the company does, how it operates and especially its stock performance, which are important aspects to consider when investing. The companies have been classified into Insurance Companies and REITs (Real Estate Investment Thrust)

1. Insurance Companies: Insurance regulator has asked insurers to cover Covid -19 cases in their existing policies as well as promised expeditiously attend to such claims of Covid -19. Insurance companies have also come up with exclusive policies for Covid-19. The Insurance Regulatory Development Authority of India, has declared coronavirus treatment would be covered for all policies like any other illness or disease “under products where hospitalisation is covered”, including the cost of admissible expenses and treatment during quarantine period. Besides, the government will provide medical insurance cover of Rs 50 lakh per person

The insurance regulator has asked insurers to cover Covid-19 cases in their existing policies as well as ensure that they expeditiously attend to such claims. The Insurance Regulatory Development Authority of India, in a circular issued earlier this month, said coronavirus treatment would be covered like any other illness “under products where hospitalisation is covered”. For all policies covering the disease, the regulator also directed the companies to cover the cost of admissible expenses, including treatment during quarantine period. Insurance companies have also come up with exclusive policies for Covid-19, which has so far killed 19 people in India and infected nearly 900. Besides, the government will provide medical insurance cover of Rs 50 lakh per person

Existing Policies To Cover Covid-19 in India are:

Aditya Birla Health Insurance :

An insurance policy covering all infections including coronovirus considered as an infection, according to the Chief Chief Executive Officer Mayank Bathwal.

“The indemnity products that offer hospitalisation covers, in-patient treatment, pre-hospitalisation, hospitalisation and ambulance cover are available for all customers to fight against this pandemic,” he told BloombergQuint. “Simultaneously, they are planning to work on an exclusive product for coronavirus.”

Edelweiss General Insurance

An innovative and modular product structure with label as ‘Group Total Protect’, under which customer can customise solutions to provide cover against a wide range of illnesses, including pandemics and vector-borne diseases, at affordable costs,” Shanai Ghosh, executive director and chief executive at the insurer, said. “Any employer or other existing groups can customise this for their employees, customers or members.”

Also, all Covid-19 cases—suspected and confirmed—are covered up to the sum assured, Ghosh said. “Even for quarantined patients, our policy covers the entire quarantined period.” IndiaFirst Life Insurance The existing life insurance policies will even cover death due to coronavirus, Managing Director and Chief Executive Officer Vishakha RM said in a media statement.

“All life insurance policies issued and valid as on date of event covers the event of unfortunate death due to Covid-19 illness.”

The insurance industry is likely to shape up to the unfolding crisis in its stock performance. Companies forecasts is a great disconnect between how far stocks are down and how much estimates are falling.

2. Real Estate Investment Thrust (Health Care & Industrial)

Health care REITS own and moanage a variety of health care related real estate and collect rent from tenants. It include senior living facilities, hospitals, medical office buildings and skilled nursing facilities.

Industrial REITs owns and operates, income-producing real estate. It also owns many types of commercial real estate, ranging from office and apartment buildings to warehouses, hospitals, shopping centers, hotels and timberlands. Some REITs engage in financing real estate.