Start-up insurance-linked securities and reinsurance-linked investment hedge fund Petra Haven Capital LLC have partnered with a third-party institutional investment marketing firm to help it broaden its reach as it raises capital. Parenteau Associates, LLC has over 20 years of experience representing investment products and services and hopes to put Petra Haven Capital in front of investors it might otherwise find hard to reach.
Petra Haven Capital, based in Charlotte, North Carolina, is one of only a few U.S. domiciled ILS fund managers and launched seeded by a U.S. family office and with commitments from the managers’ own funds just over a year ago. The fund managers’ strategy is to attempt to match investor’s needs with the available market opportunities and it looks to work very closely with those investors it has commitments from.
Having spent 2012 quietly working on its strategy and building out its fund management and administration platform, Petra Haven Capital is now building investor interest by partnering up with Parenteau Associates.
Jonathan Murray, Managing Director and General Counsel of Petra Haven stated, “Petra Haven chose to work with Parenteau Associates for several reasons. Most importantly, Claude Parenteau had an existing knowledge of the asset class from his involvement with the World Captive Forum and he shared our enthusiasm for educating the institutional marketplace on the opportunities available in this space. Moreover, we appreciate Claude’s reputation and connections with institutional investors, evidenced by his stellar references. Lastly, we placed a great deal of value on the similarities in philosophy that our two firms share on how to execute a successful strategy and build relationships. Having known and worked with my business partners for over a decade, I was acutely aware of the intrinsic value that a common set of core values provides a successful partnership.”
“At a time when there is an unquenchable thirst for current yield, and, non-correlated returns, this is an asset class whose time has come”, according to Claude Parenteau, President of Parenteau Associates, LLC. “Since funds are held in trust, there is really no credit risk in these instruments. Since these are all floating rate securities, there is no interest rate risk or inflation risk. The unique risk investors take is event risk, which is completely uncorrelated to any other financial instruments. This is the “Holy Grail” for efficient frontier hypothesis implementation and execution in institutional portfolios. These are long-only, non-leveraged, non-hedged or shorted alternatives to traditional fixed-income instruments. This is also a “capital constrained” asset class where being a smaller, more nimble manager can provide advantages in trading executions.”
Read our article from last year which discusses Petra Haven Capital’s investment strategy.Disclosure: Artemis’ owner Steve Evans is an advisor to Petra Haven Capital LLC.