Sector Re

Swiss Re’s reinsurance sidecar investment platform is on-track to deliver impressive returns for 2023, with loss activity seemingly attritional up to August and higher rates set to boost performance, Philipp Rüede, Head of Swiss Re’s Alternative Capital Partners (ACP) unit told us in a recent interview.

Speaking today in Monte Carlo, senior executives from Swiss Re’s reinsurance business unit explained that the firm’s Alternative Capital Partners (ACP) unit is an area where “consistency and continuity” are key, while the firm sees “zero conflicts” between its ACP investors and its equity holders.

Philipp Rüede, Head of Swiss Re’s Alternative Capital Partners (ACP) unit told us in an interview that the outlook for use of alternative capital and for insurance-linked securities (ILS) as an asset class has “significantly improved”, with expected returns now doubled or tripled in some ILS strategies.

Higher assets under management and improved returns in the insurance-linked securities (ILS) funds and sidecar structures managed by Swiss Re’s Alternative Capital Partners (ACP) division have driven a significant increase in fee income and commissions earned by the reinsurer in the first-half of 2023.

In order for capital to flow more meaningfully back into insurance-linked securities (ILS), John Dacey, the CFO of global reinsurance firm Swiss Re, said that the industry needs to better address investor concerns over climate change impacts to nat cat risk.

Global reinsurance company Swiss Re grew its collateralized reinsurance sidecar and insurance-linked securities (ILS) fund assets under management by 29% in 2022, lifting the third-party investor total to $2.9 billion.

Global reinsurance firm Swiss Re has continued to expand its activities in insurance-linked securities (ILS) over the last year and Philipp Rüede, Head of Swiss Re’s Alternative Capital Partners (ACP) unit, explained to us that with now multiple access points available to investors, the company hopes to grow all its ILS strategies.

Global reinsurance firm Swiss Re has set up a new insurance-linked securities (ILS) venture, launching an SEC registered investment adviser today named Swiss Re Insurance-Linked Investment Advisors Corporation (SRILIAC), which will have a focus on catastrophe bond investment management.

The senior leadership of global reinsurance company Swiss Re is bullish that insurance-linked securities (ILS) investor appetite will recover after a recent lull caused by losses and uncertainty, they explained at the firm’s investor day yesterday.

Global reinsurance company Swiss Re gave some insights into its growing Alternative Capital Partners business this morning, explaining that the annual fee income earned from alternative reinsurance capital activities and insurance-linked securities (ILS) management is on track for US $100 million.