Collateralized reinsurance news

The Florida Hurricane Catastrophe Fund (FHCF) is expected to target a renewal of its $1 billion layer of reinsurance coverage at the mid-year, but the attachment point of the layer is expected to drop down as the Fund arranges its financing after the impact of hurricane Irma last year.

Mike Brooks, head of diversified multi-asset strategies at major investment manager Aberdeen Asset Management, has underlined the attractiveness of investing in the insurance-linked securities (ILS) space, particularly as a way to secure diversified returns during financial market volatility.

Asset management giant Amundi Pioneer Investment Management is seeking to add a second share class to its expanding U.S. mutual fund insurance-linked securities and reinsurance linked investment strategy, the Pioneer ILS Interval Fund, which would help to broaden its appeal to investors.

Insurance and reinsurance broking giant Aon has named John English as the new Chief Executive Officer (CEO) of the firms Captive & Insurance Management business, a unit that includes teams looking after numerous insurance-linked securities (ILS) structures and vehicles.

The world of hedge funds and alternative investment strategies is moving fast and the Chief Investment Officer of massive A$166 billion Australian sovereign wealth fund, the Future Fund, is happiest allocating to what he terms Hedge Funds 2.0, a categorisation that ILS and reinsurance fits into.

According to John Forney, the CEO of United Insurance Holdings (UPC Insurance), the firms recently completed $3.1 billion reinsurance program featured a “heavy dose of collateralized limit” and at the same time more capital market investors were attracted to invest in its latest Armor Re II Ltd. catastrophe bond.

Boutique alternative investment specialist Hatteras Funds is set to launch a new insurance-linked securities (ILS) and reinsurance linked investment mutual fund arranged as an interval structure, becoming the latest company to offer reinsurance-linked investments to advisors and clients.

The Texas Windstorm Insurance Association (TWIA) is set to procure a new $1.4 billion layer of reinsurance and catastrophe bonds in 2018, taking its overall private market program to $2.6 billion, a 24% increase from the size of its program a year ago, helping to cover a funding gap created by increasing hurricane Harvey losses.

It’s our pleasure to announce a number of new speakers from Aon Securities, Mt. Logan Re, NatCatDAX and DBS Bank, for the upcoming third instalment of our annual insurance-linked securities (ILS) conference in Asia, ILS Asia 2018.

Steady increases in interest rates will benefit alternative investment strategies that have investments in short-term, highly rated fixed income portfolios, as it will raise their expected returns and could result in them growing their share of the overall hedge fund industry, according to the founder of Agecroft Partners.