The aim of the presentation is to consider the role of capital management in the value creation process of insurance companies. As a first step, the various interpretations of capital (from the economic, investor and actuarial perspectives), and related concepts such as capital supply and demand, financial capital, the optimal capital structure, leveraged capital etc, will be considered. The presentation will then look at the role of capital in the value creation process and the overall objectives of capital management will be clarified. This will act as the foundation for understanding the pillars of a mature Capital Management Framework required to support the capital management process. This will be followed by a practical illustration of capital management as a constrained optimisation exercise and will cover the link between the strategic, capital, liquidity and risk management processes.