Insurance Linked Investments

GAM Holding AG, the parent company to global asset manager GAM Investments and home to perhaps the largest catastrophe bond fund strategy in the world, has now received a counter-offer to its impending acquisition deal with Liontrust, as an investor group has offered to buy its shares at a 29.1% premium to that arrangement.

Cyber insurance-linked securities (ILS) will be “pivotal” to the future development and health of the cyber insurance and reinsurance market, according to comments from specialist insurance-linked securities (ILS) investment manager Fermat Capital Management today.

Vesttoo, the insurtech that has been working to connect capital markets with diverse types of re/insurance risk, has come under scrutiny after claims of fraudulent collateral emerged in an Israeli tech publication yesterday.

Despite the news of a range of insurance carriers pulling-back to manage their catastrophe exposure in Florida, there remains an appetite to assume this risk and the state insurance regulator says that it is seeing greater interest and participation in the Florida Citizens Depopulation program in 2023.

The well-established and growing life insurance-linked securities (ILS) segment offers a very stable profile and true diversification for investors, both within ILS and when compared to traditional asset classes, according to industry experts.

One of the key themes to come out of renewals over the last year is a realignment of risk sharing in natural catastrophe risks between the reinsurance market, including ILS funds and alternative capital, and the primary insurers, which positions the reinsurance side to better be able to demonstrate the profit-potential of their businesses this […]

Reflecting very strong market activity in the first-half, catastrophe bond funds in the UCITS format saw their combined assets under management (AUM) rise by over 18%, to reach a new record-high of nearly $10.4 billion by the end of June 2023.

Yesterday’s Artemis ILS Asia 2023 conference marked our first in-person return to Singapore and the Asian region since 2019 and while there are marked differences in the conversation surrounding insurance-linked securities (ILS) and the use of reinsurance capital, it is clear the region remains relatively untapped, on both an investment and risk basis.

In a new report, insurance focused investment manager Conning raises a valid point, that a nascent cyber insurance-linked securities (ILS) market may be based on fragile investor confidence, so the occurrence of a major cyber catastrophe loss could deter them before the market even has a chance to mature.

Commentary attributed to Everest Group CEO Juan Andrade helps to drive home the fact that reinsurance and so also many ILS strategies are now sitting higher up the catastrophe risk tower, with larger industry loss events required to meaningfully involve them in paying claims.