Company: AXS-PE
Filing Date: 2025-07-29
Form Type: 10-Q
Source: 0001214816-25-000149
Chunk: 86

Company: AXIS CAPITAL HOLDINGS LTD
Filing Date: 2025-07-29
Form: 10-Q
Item: Item 1
Chunk 86
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 mortgage loans

For the three and six months ended June 30, 2025, the allowance for expected credit losses increased by $1 million and $4 million, respectively, primarily related to commercial properties exposed to the office sector. For the three and six months ended June 30, 2024, the allowance for expected credit losses increased by $13 million and $14 million, respectively, primarily related to commercial properties exposed to the office sector. Refer to Note 3(d) to the Consolidated Financial Statements 'Investments'.

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Total Return

Total return on cash and investments was as follows:

  Three months ended June 30,Six months ended June 30,  2025202420252024Net investment income$187,297$190,975$395,009$358,358Net investment gains (losses)43,468(53,479)13,462(62,687)Change in net unrealized gains (losses) on fixed maturities (1) 142,25721,232277,817(30,731)Interest in income of equity method investments(705)7,9001,5869,069Total$372,317$166,628$687,874$274,009Average cash and investments(2) $16,520,011$16,932,010$17,191,155$16,887,183Pre-tax, total return on average cash and investments:Including investment related foreign exchange movements2.3 %1.0 %4.0 %1.6 %Excluding investment related foreign exchange movements(3) 1.7 %1.0 %3.2 %1.8 %

(1)Change in net unrealized gains (losses) on fixed maturities is calculated by taking net unrealized gains (losses) at period end less net unrealized gains (losses) at the prior period end.

(2)The average cash and investments balance is the average of the monthly fair value balances.

(3)Pre-tax, total return on average cash and investments excluding foreign exchange movements is a non-GAAP financial measure as defined in Item 10(e) of SEC Regulation S-K. The reconciliation to pre-tax, total return on average cash and investments, the most comparable GAAP financial measure, included foreign exchange (losses) gains of $97 million and $(5) million for the three months ended June 30, 202