Company: KNSL
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0001669162-25-000010
Chunk: 18

Company: Kinsale Capital Group, Inc.
Filing Date: 2025-02-21
Form: 10-K
Item: Item 1
Chunk 18
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 interest rates. During periods of declining interest rates, RMBS generally prepay faster as the underlying mortgages are prepaid and refinanced by the borrowers in order to take advantage of the lower rates. As a result, during periods of falling interest rates, proceeds from such prepayments generally must be reinvested at lower prevailing yields. In addition, RMBS that have an amortized cost that is greater than par (i.e., purchased at a premium) may incur a reduction in yield or a loss as a result of such prepayments. Conversely, during periods of rising interest rates, the rate of prepayments generally slows. RMBS that have an amortized value that is less than par (i.e., purchased at a discount) may incur a decrease in yield as a result of a slower rate of prepayments. Changes in estimated cash flows due to changes in prepayment assumptions from the original purchase assumptions are revised based on current interest rates and the economic environment. Our investment policy does not permit us to own any interest only, principal only or residual tranches of RMBS.

12

At December 31, 2024, our portfolio of fixed-maturity securities contained corporate bonds with a fair value of $2.0 billion. A summary of these securities by industry segment is shown below as of December 31, 2024: 

December 31, 2024IndustryFair Value% of Total($ in thousands)Industrials and other$1,045,232 52.5 %Financial777,136 39.1 %Utilities167,122 8.4 %Total$1,989,490 100.0 %

Approximately 9.2% of our total cash and investments were invested in certain common stocks and exchange traded funds ("ETFs"). At December 31, 2024, our equity securities included the following:

December 31, 2024Equity securitiesFair Value% of Total($ in thousands)Common stocks$242,195 65.1 %Domestic stock market fund129,731 34.9 %Total$371,926 100.0 %

Approximately 0.6% of our total cash and investments were invested in nonredeemable preferred stock. A summary of these securities by industry segment is shown below as of December 31, 2024: 

December 31, 2024IndustryFair Value% of Total($ in thousands)Financial$25,582 96.8 %Industri