Bermuda based Aspen Re, the reinsurance segment of Aspen Insurance Holdings Limited, has launched a capital markets focused division aiming to capitalise on the growing alternative reinsurance market and the increasing interest being shown in reinsurance by capital markets investors. As well as announcing the formation of Aspen Capital Markets, Aspen has also announced the hiring of Brian Tobben, formerly of PartnerRe as managing director.
Aspen Re has already had an interest in the third-party capital management, insurance-linked securities and alternative reinsurance market through its partnership with Cartesian Capital in Iris Re. Recognising the growing importance of alternative reinsurance capital, Aspen now aims to increase its participation in that segment of the market by launching Aspen Capital Markets.
James Few, Chief Executive Officer of Aspen Re, commented on the launch of Aspen Capital Markets; “Our decision to establish a capital markets division recognizes developments in the reinsurance market over recent years as the influence of the capital markets on the catastrophe segment has steadily increased. The focus of the new unit will be to develop alternative reinsurance structures to leverage our existing underwriting franchise, increase our operational flexibility in the capital markets and provide investors direct access to our underwriting expertise. This initiative builds on our successful partnership with Cartesian Capital Group at Iris Re, an investment manager focused on investments in natural catastrophe risk.”
Brian Tobben is tasked with leading the new division as managing director of Aspen Capital Markets. In the role Brian will be based in New York and report directly to James Few. Tobben joined Aspen on the 8th of April according to the press release. Previously Tobben spent 10 years at PartnerRe most recently as Head of Insurance Linked Securities where he managed a portfolio of catastrophe ILS, life ILS, weather and commodity investments and before that, as Vice President, Weather. Prior to PartnerRe Brian held a Vice President, Business Development, Weather role at Aquila.
Few commented on the appointment; “I am delighted that Brian has joined us to lead this new venture. He has a wealth of experience and I look forward to working with him as we develop our proposition in the evolving convergence market.”
Brian Tobben commented; “Aspen Re is a highly respected reinsurer with a clear vision to diversify further into the capital markets. I am excited to be joining Aspen Re as it looks to build its capabilities in this area.”
The work to establish third-party capital management units within insurers and reinsurers continues apace and Aspen are just the latest to throw their hat firmly into the ring seeking to capitalise on the growing importance of alternative capital in the global reinsurance markets.