CHARLOTTE, N.C._Hartford Financial Services Group Inc. shares advanced Monday after Deutsche Bank raised its share price target, citing favorable market conditions.

Analyst Darin Arita raised his target price for the Hartford, Conn.-based life insurer's shares to $25 from $20.

"The Hartford stock sill offers attractive risk-reward, as there appears to be minimal downside even under a scenario with stressful commercial real estate losses and a sever equity market decline," Arita wrote in a note to clients Sunday.

In the past two years, insurers have seen their investment portfolios slammed by declines in stocks, real estate and other financial assets. That fanned worries that some insurers would fall below required capital levels, which could result in costly downgrades from ratings agencies.

Investors' fears escalated as the companies awaited approval from the government to participate in the Troubled Asset Relief Program, or TARP.

In May, the government gave six life insurers, including Hartford Financial, approval to tap its $700 billion bailout program. The company received $3.4 billion in funds in late June.

Arita maintained a "Buy" rating on Hartford's shares. He also said he expects the company to raise $1.1 billion of equity by the end of 2011, to combine the proceeds with existing excess capital to repay the TARP funds in full.

Shares of Hartford gained 77 cents, or 3.8 percent, to $21.33 in afternoon trading.