RenaissanceRe Upsilon Fund Ltd.

RenaissanceRe, the Bermuda-based reinsurance firm and third-party capital management specialist, has revealed that it raised an additional over $730 million of capital for third-party managed joint ventures and insurance-linked securities (ILS) vehicles at January 1st 2020.

RenaissanceRe, the Bermuda headquartered specialty re/insurer and third-party reinsurance capital manager, has pre-announced an expected $345 million of losses from natural catastrophes and COVID-19 suffered during the fourth-quarter of 2020.

RenaissanceRe, the Bermuda headquartered global reinsurance company, had lifted the amount of assets managed within its third-party capital, joint venture and managed insurance-linked securities (ILS) fund vehicles to $6.9 billion by October 2020, with these structures now getting close to equalling the reinsurers own capital base.

The experience of the reinsurance market with COVID-19 and business interruption, as well as the expectation that uncertainty will persist over the eventual industry loss impact of the pandemic, will all combine to elevate the preference of cedents for rated paper, RenaissanceRe’s CEO believes.

Large loss events in the third-quarter of 2020 dented performance at Bermuda based reinsurance firm RenaissanceRe’s third-party capital joint ventures and managed insurance-linked securities (ILS) funds, resulting in a decline in performance fees.

RenaissanceRe, the Bermuda headquartered specialty re/insurer and third-party reinsurance capital manager, has raised capital across numerous platforms over the last year, but the company always ensures investors have a “right of incumbency” on the deals they are already on, according to its CEO.

RenaissanceRe, the Bermuda headquartered specialty re/insurer and third-party reinsurance capital manager, has had continued success in raising new funds for its collateralised reinsurance and retrocession focused Upsilon ILS strategy in the first-half of the year.

RenaissanceRe, the Bermuda-based reinsurance firm and third-party capital management specialist, has raised an additional $250 million of capital from third-party investors for some of its ILS and joint-venture vehicles in the second-quarter of 2020, with the growing capital under management now driving increased fee income.

The leader of RenaissanceRe’s third-party reinsurance capital and joint-venture focused Ventures business Aditya Dutt is set to leave the firm for a new opportunity, with CEO Kevin O’Donnell to assume control of the unit.

While overall insurance-linked securities (ILS) and third-party reinsurance capital has shrunk slightly over the last year or so, reinsurer RenaissanceRe bucked the trend and raised around $2.2 billion from investors in just over one-year.