BUZZ-EU Insurers: can modestly outperform in 2018 - DB

** Deutsche Bank (IOB: 0H7D.IL - news) says EU insurers look reasonably positioned in 2018 – cushioned against market weakness by strong balance sheets and on PEs that are well within long-term trading range

** DB feels sector can modestly outperform in 2018

** DB remains positive on Prudential (SES: K6S.SI - news) , Allianz (Swiss: ALV-EUR.SW - news) and ASR Nederland (Amsterdam: ASRNL.AS - news)

** Under Reinsurers: DB prefers Swiss Re (LSE: 0QL6.L - news) and SCOR (both rated as "buy") over Munich Re and Hannover Re for valuation and company-specific reasons

** DB sees potential in both AXA (Paris: FR0000120628 - news) and Aviva; says investors are failing to recognize full benefits of AXA's five year plan, and for Aviva (Other OTC: AIVAF - news) , expects 2018 to bring more visible evidence of normalising leverage ratio, increased dividend payout and acceleration of growth

** Upgrades Coface to "buy" from "hold," on higher flows post Euler buyout and views COFA as a potential M&A candidate

** Downgrades Phoenix Group Holdings to "hold" from "buy", citing Phoenix's higher-than-average exposure to risk of a hard Brexit and competitive UK market