Green insurance-linked securities

Plenum Investments AG, the Zurich based specialist insurance-linked securities (ILS) and catastrophe bond investment manager, has had its catastrophe bond, insurance private debt and life settlements investment funds all classified as ESG relevant under the EU’s Sustainable Finance Disclosure Regulation (SFDR).

If the global risk transfer industry ramps up its efforts around transparency, it would become a far more attractive space for the growing pool of environmental, social and governance (ESG) focused investors, says Marcus Rivaldi, Managing Director of Analytics at Twelve Capital.

The commingled insurance-linked securities (ILS) and catastrophe bond funds managed by specialist Twelve Capital have achieved an ESG relevant classification under Article 8 of the EU’s Sustainable Finance Disclosure Regulation (SFDR).

Leadenhall Capital Partners LLP, London headquartered insurance-linked securities (ILS) and reinsurance related investments manger, has achieved a classification of its European open ended ILS funds under Article 8 of the Sustainable Finance Disclosure Regulation (SFDR).

The use of advanced technologies alongside thoughtful risk capacity to create new products that support a more sustainable world and improved risk taking is vital, according to Barney Schauble, Head of Labs at Nephila Advisors.

Insurance-linked securities (ILS) asset managers could give themselves an edge in the allocation process, if they have a “well-defined and thoughtful” Responsible Investment policy, according to the Standards Board for Alternative Investments (SBAI).

In a recent interview with Artemis, Ocorian Client Director Sherman Taylor explored how the insurance-linked securities (ILS) industry can incorporate ESG into its operations and what benefits this might bring.

Alpina Capital, through its Alpina Fund Management S.A. unit, has taken over the management and distribution of the Falcon Private Bank catastrophe bond funds and is transforming them into ESG compliant strategies under the EU taxonomy.

The insurance-linked securities (ILS) marketplace could put itself at risk of a potentially damaging “credibility gap” if it over promises on environmental, social and governance (ESG) alignment, Synpulse Management Consulting has warned.

The already large environmental, social and governance (ESG) investor community is poised to expand further, but in order for the insurance-linked securities (ILS) sector to really take advantage of the opportunity it needs to address certain challenges, says Marcus Rivaldi, Managing Director of Analytics, Twelve Capital.