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BlackRock finds more risk assets at insurers than in '08

In a decade of low interest rates, they have had to venture beyond traditional holdings of vanilla bonds.

There's a raging debate on Wall Street over whether a big correction is looming - and if so, whether unforeseen faults in financial markets might crack open, as they did a decade ago.

INSURERS got burned badly in the 2008 financial crisis. So almost a decade later, BlackRock Inc scoured the industry's US$5 trillion in US investments to figure out how they would fare if markets crash so hard again. The answer: It could be worse.

The world's largest money manager mined...