Our Three Principles

How we did it – how we managed the quantitative and qualitative levers of our business –is detailed later in "The Value of Risk," starting on page 16. In this report, you will see that three principles drive our behavior.

First, we provide a product of value. We sell our clients the security of knowing that when losses occur, PartnerRe will be there. And we'll be there because we have and will maintain capacity and unquestioned financial integrity. We do not gamble with our clients' futures.

Second, we will deliver an appropriate return on our shareholders' capital, to compensate them for the risk we assume on their behalf. For the last five years, we've defined 13% over a cycle as our target operating ROE and we have achieved that. We're not quite there from a total return to investors, as our stock price growth has lagged our book value per share growth, but we have not lost sight of that commitment.

Third, we intend to be a well managed company. For PartnerRe, a company that is well managed is one where things happen for good reason; where decisions are made to benefit all stakeholders and not just executive management; a company where employees can meet their financial and career goals; and a company with which employees, clients and shareholders can all be proud to be associated.

All three of these principles are critical to executing our strategy effectively and they guide our operations within our defined and maintained risk appetite and operating policies.