General Insurance Corporation (GIC Re) made a lackluster stock market debut on Wednesday as its shares fell as much as 14.5 per cent during the session. The state-owned reinsurer’s shares closed at Rs 898 apiece, down Rs 14 or 1.5 per cent from the initial public offering (IPO) issue price. The poor performance of GIC Re post listing is in-line with its three listed peers – ICICI Prudential Life, SBI Life and ICICI Lombard which have registered similar performance post listing.Market participants say, this poor performance was majorly due to dilemma in the markets about how these companies should be valued. Usually, analysts use parameters like price-to-earnings (P/E) and return on equity (RoE) to evaluate a non-banking company. For banks, price to book is usually considered a benchmark criterion. However, insurance is a relatively new sector in the listed space and hence investors are yet to grip a way to asses these stocks.”It is difficult to have a fixed benchmark to value …

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