Archive for February, 2023

Blackstone Alternative Asset Management, the hedge fund solutions unit of Blackstone, upsized its investment into an insurance-linked securities (ILS) strategy managed by asset management giant PIMCO before the end of last year.

The Andover Companies, one of the largest and longest-standing mutual insurance groups in the Northeast US, has entered the catastrophe bond market for the first time, seeking $125 million or more in collateralized catastrophe reinsurance from a Locke Tavern Re Ltd. (Series 2023-1) issuance.

Insurance-linked securities (ILS) investment fund manager and collateralised reinsurance underwriter Elementum Advisors, LLC, has announced five promotions of current employees to Partner at the firm, and the addition of another leader to its Executive Committee.

W. R. Berkley Corporation, the US headquartered insurance holding company, has secured additional investor commitments for its Lifson Re collateralized reinsurance sidecar vehicle, growing the vehicles capital base to $380 million for 2023.

Elementum Advisors, LLC, the insurance-linked securities (ILS) investment fund manager and collateralised reinsurance underwriter, is to benefit from a further $100 million investment into its range of ILS funds from stakeholder and key investor White Mountains.

For those able to navigate the complexity inherent in the Lloyd’s insurance and reinsurance market, the conditions for investing there are looking increasingly favourable, according to Dirk Lohmann, Chairman, and Peter Brown, ILS Originator and Structurer, Schroders Capital ILS.

The current growth trajectory of cyber risk suggests it could become the biggest exposure in the market, and while the recent cyber ILS deals and first cyber catastrophe bond are a positive development, transparency is vital, say industry experts.

Hudson Structured Capital Management Ltd. (HSCM), the reinsurance, insurtech, insurance-linked securities (ILS) and transportation focused investment manager, has launched HSCM Insurance Credit Strategy, which will seek to originate and invest in medium-to long-term debt issued by insurers, reinsurers, and re/insurance distribution and service companies.

Having recently completed the placement of a new catastrophe bond, the slightly upsized to $125 million Titania Re Ltd. (Series 2023-1) issuance, the leadership of global reinsurance company Ariel Re have hailed the fact the cat bond is the first to have an embedded carbon offset feature.

Warren Buffett’s conglomerate and re/insurance company Berkshire Hathaway delivered an underwriting loss for 2022 in its results this weekend, but the benefits of the strategy of accumulating “free” investment float are again evident and the acquisition of Alleghany Corporation has helped to bulk this out even further.