Swiss Re Insurance-Linked Fund Management

Xactanalysis Insights and PCS

Markel reports $56.5m of Markel CATCo revenue in 2016


For the first time Markel Corporation has revealed how much revenue operations at its reinsurance and retrocession linked investment manager Markel CATCo Investment Management generated, reporting $56.5 million of revenue for 2016.

Insurance, reinsurance and investments group Markel acquired reinsurance investments and fund manager CATCo in December 2015 and has since cited an acquisition cost of $205.7 million.

Owning the Markel CATCo Investment Management unit brings additional revenue to the Corporation from investment and insurance management fees, as well as performance fees based on the performance of the CATCo reinsurance and retrocessional linked ILS funds.

The value to Markel is now clear, with the companies annual report filing revealing an impressive revenue from Markel CATCo for 2016, saying; “Total revenues attributed to MCIM for the year ended December 31, 2016 were $56.5 million.”

The revenues will of course grow with scale as well, and Markel CATCo has increased its assets under management during 2016, reaching $4.3 billion at the end of the year in total.

Having started 2016 with around $3.2 billion of assets, growing to $3.7 billion by July 1st of the year, the growth has clearly continued at steady pace and this will see the revenues earned and contribution to the overall Markel Corporation increasing as well.

Since the Markel acquisition of CATCo the reinsurance linked assets under management have grown from $2.75 billion to the $4.3 billion seen today, a 56% increase, so clearly the synergies are working both ways and the Markel CATCo team also benefits from now working within the larger group.

Register today for ILS NYC 2023, our next insurance-linked securities (ILS) market conference. Held in New York City, February 10th, 2023.

Artemis London 2022 - Insurance-linked securities conference in London

Get a ticket soon to ensure you can attend. Secure your place at the event here!

Print Friendly, PDF & Email

Artemis Newsletters and Email Alerts

Receive a regular weekly email newsletter update containing all the top news stories, deals and event information

  • This field is for validation purposes and should be left unchanged.

Receive alert notifications by email for every article from Artemis as it gets published.