Plenum Investments AG, the Zurich based specialist insurance-linked securities (ILS) and catastrophe bond investment manager, has announced two key hires with Daniel Grieger who was formerly at Twelve Capital and Rötger Franz formerly of Société Générale joining the firm.
Daniel Grieger was a founding partner of insurance and reinsurance specialst investment firm Twelve Capital and joins Plenum Investments as a Partner.
Rötger Franz is a recognised insurance and reinsurance industry analyst, who most recently worked at Société Générale in London and joined Plenum on April 1st. He has also worked as an analyst at A.M. Best and other investment banks.
The two hires will reinforce the Plenum Investments portfolio management team with expertise gained across insurance and reinsurance investing.
Dr. Rainer Grünig, CEO of Plenum Investments Ltd., commented on the hires, “I am delighted to welcome with Daniel and Rötger two proven ILS specialists. Adding insurance bonds capabilities to our CAT bond expertise will unleash significant innovation potential. At the same time, we strengthen our foothold in the institutional business.”
“I am pleased that Plenum Investments Ltd. shares my view on how to implement innovative solutions to invest in the insurance sector in order to sustainably handle the challenges in a low interest rate environment,” added Grieger “Besides Plenum’s willingness to provide adequate resources, I am inspired by the company’s authenticity and commitment as well as its defensive and long-term oriented investment strategy. The fact that Plenum Investments Ltd. is a pioneer in the implementation of ESG criteria with insurance-linked investments completes my positive impression.”
Dirk Schmelzer, responsible for portfolio management at Plenum also said, “This move not only sharpens the profile of our company, but also enables us to bolster our market position in the ILS industry.”
Franz added, “Regulatory capital of insurance companies in the form of subordinated bonds is a sound investment, both from a return as well as from a risk perspective. I am excited to use my extensive experience in this area to make a substantial contribution to the development of Plenum Investments Ltd. There is no doubt that in the current difficult market environment, institutional investors will benefit from our strategy and we will be able to generate attractive returns.”
Plenum Investments said the hires reaffirm its focus on insurance linked investment strategies at a time when the global investment community is increasingly focused on ensuring long-term positive returns in fixed income while facing a declining interest rate environment.
With insurance-linked securities (ILS) and catastrophe bonds an increasingly in-favour asset class during a time of global financial market volatility, plus experiencing increasing returns due to the rising of reinsurance rates, Plenum’s growth at this time and addition of expertise may prove a positive move for its established strategies.
Plenum’s flagship catastrophe bond fund has a long track-record of almost a decade and the firm was launched in 2001.