It’s uncommon to be supplied an enormous promotion and switch it down, nevertheless it’s even rarer to warn superiors you don’t really feel ready for the function and be appointed anyway.
But that’s exactly what occurred to Reinsurance Group of America boss, Tony Cheng, in his early years with the enterprise. Cheng has labored his approach up the ranks of RGA over the previous three many years, serving to develop the corporate to its present place of $3.9 trillion of reinsurance overlaying energetic policyholders.
In 2025, RGA introduced a landmark $1.5 billion take care of Equitable to reinsure $32 billion price of life insurance coverage insurance policies, securing its place as an trade chief and anticipated to spice up earnings for quarters come.
Sitting down for an unique interview with Fortune this summer season, Cheng mirrored on that all-important promotion to CEO, and the worth of staying humble even within the C-suite.
The next has been condensed and edited for readability.
Tony, in an period the place job-hopping is usually seen because the quick observe to profession progress, you’ve chosen a special tactic—working up via RGA since 1997. The place did your work ethic come from, and what’s impressed your long-standing dedication to the corporate?
I used to be born in Hong Kong, and my dad and mom—each lecturers—felt for the way forward for their 4 children (of which I used to be the youngest) Australia would supply the Western schooling they needed. So I grew up in Australia from 9 months to the age of 20 and didn’t journey abroad a lot.
My dad and mom labored extremely exhausting. Mother sorted the 4 children and Dad sadly had to surrender his love for educating as a result of it simply wouldn’t pay the payments. Finally they opened up small companies after which we, the 4 children, on the weekend would go work there—12 hour days—and didn’t assume in any other case. That actually bred within the sacrifice of the dad and mom, the exhausting work, all issues I’d want to go onto my children.
Rising up as many people in a Western nation however very Asian household do, I believe I went to Asia as soon as in my life, so [I took] a chance to hitch RGA in 1997 in Malaysia.
Between 1999 and 2002 you returned to the States to earn an MBA whereas working for RGA, earlier than leaving to go up the Hong Kong workplace. If you arrived, you had a crew of 10. The Asia Pacific area now has greater than 1,000 workers and revenues of $4 billion. Are there untapped profession alternatives in rising markets versus progressing in established areas?
We had a really small operation, however we have been truly overlaying about 500 million folks. It was Hong Kong and Southeast Asia so Malaysia, Thailand, all these international locations. I went there because the actuary, and a 12 months and a half later they promoted me to be the CEO of that enterprise. It was daunting, proper?
The primary time I used to be requested to take it by my boss, I kind of stated, ‘No, I’m too younger.’ On the time I used to be 29. He ignored that.
The equation in my thoughts was I’ve most likely received a ten% probability of success—and that will be nice—or a 90% probability of failure, however hey, I’m gonna study a hell of loads. I had no mortgage, no children, so simply needed to study. Perhaps that intuition, that want and drive to continue learning was from my dad and mom being lecturers.
In its newest monetary outcomes RGA reported revenues of $22.1 billion. How has the start-up mentality you realized in Asia helped develop the enterprise globally?
We constructed that enterprise up with unbelievable exhausting work. I’d joke internally that after each month or so pest management would are available, and that meant we might go residence at 5 o’clock as a result of what else have been we going to do with ourselves? That was the spirit. Within the early days, you clear up issues. I’d say to the crew: ‘Let’s simply strive. We all know it’s actually exhausting, however let’s simply strive.’
Within the U.S., folks often don’t create new merchandise or create new issues as a result of the market’s so large, numerous it’s already performed out and it’s been created. Any good thought has been considered, and that’s actually okay.
It’s truly extra connecting the dots within the U.S., however with a drive to not simply decide on: ‘Hey, right here’s the market, we would like a share of it’ it’s a drive to create new issues or a brand new mixture of issues in order that we [can] improve the pie and share in that better worth creation. That’s all the time been within the firm spirit, it was simply actually about bringing that out once more to the forefront.
Like numerous different Fortune 500 CEOs we communicate to, you clearly have a love for studying. In a world the place AI is predicted to disrupt the labor market, what are the abilities you’re searching for in new expertise?
I can solely consider what I counsel my son, who’s in his second 12 months of faculty. Because the youthful era already is aware of, AI is gonna speed up, and subsequently primary they’ve completely received to have the ability to use it and companion with it.
In the end AI, one would assume, is gonna substitute no matter is mathematically simpler to exchange. Had a dialog at one of many city halls with some threat professionals within the U.S. final week and I stated all these mushy expertise actually matter, you’ve nonetheless received to study the exhausting expertise, you’ve received to grasp your subject material experience no matter expertise, however more and more all these talents to work together, to speak, to hitch the dots, to have the ability to perceive info, talk it, and simply put these dots collectively is the stuff that’s gonna be clearly tougher for AI to copy.
Perhaps it’s going to at some point, however then you definately’ve simply received to maintain elevating your self. So, what’s {that a} lesson of? It’s a lesson of regularly adapting, regularly studying, a bit like a sports activities individual. Once they’ve misplaced their ardour to play and battle, it’s time to retire.
For me, once I’ve misplaced that zeal to study and develop, you’re most likely not gonna give it your full go, therefore perhaps the educational actually simply retains me going. It’s not like I ever stated, ‘Hey, I need to be the CEO of the corporate.’ I used to be so far-off, I simply needed to be handled proper and benefit from the journey and the expansion,
So the lesson to people is you’ve simply received to continue learning, you’ve received to be humble. For those who’re not humble, you’re not gonna take heed to your self or your failings, you’re gonna blame them on one thing else versus, ‘Effectively, what was my function in that?’ so I can study.
