XL Capital chief executive Michael McGavick says his company is competing well in the insurance market and is hopeful that its progress will eventually be reflected in the company's share price.

He also told The Royal Gazette the strategic review of the company's life reinsurance operations — one of the options being considered is to sell it — is expected to be complete by the end of the year.

And he added that the "de-risking" of XL's investment portfolio was progressing well.

The Bermuda commercial insurer yesterday closed New York Stock Exchange trading at $6.69, up 10 percent for the day. The stock has lost almost 90 percent of its value over the past year.

While industry peers across the board have suffered share price declines, the market has punished XL for losses related to investments and to its now virtually eliminated exposure to financial guarantor Syncora Holdings (formerly known as Security Capital Assurance).

"You can never say exactly why a share is trading as it is," Mr. McGavick said yesterday. "We at XL are concentrating on how we are doing and we're doing very well in the marketplace.

"As a rule you have to focus on your daily operations, because those create the results which are important to investors."