Insurance-linked investments

At our Artemis London 2025 conference yesterday speakers highlighted a catastrophe bond and insurance-linked securities (ILS) market full of opportunity, but one where the need for transparency, communication and a continued push towards modernisation are key.

There has been a notable increase in the target investment allocation range for reinsurer SCOR’s sidecar vehicle Concordia Re, in the insurance-linked securities (ILS) portfolio managed by PGGM, the Dutch pension fund investment manager, on behalf of its end-client Dutch pension PFZW.

Pula, a Swiss headquartered specialist in parametric agriculture insurance for micro and mesa use-cases across Africa and parts of Asia, has established a collateralized insurer class of company in Bermuda, named Pula Reinsurance Ltd., Artemis has learned.

Andrew Newman, President of global reinsurance broker Gallagher Re, said today that if the firm’s pipeline is any indication of catastrophe bond market activity in the final quarter of 2025 and the first half of next year, “we won’t be surprised to see a fourth record-breaking year of issuance.”

Analysts at Moody’s Ratings expect the alternative reinsurance capital space to continue to expand over the long-term, stating that much of the growth will come from reinsurers with additional growth expected from non-catastrophe risk, as the rating agency shifts its outlook on the global reinsurance sector to stable from positive.

Speaking with Artemis, the leadership of Nephila Capital, one of the world’s largest and longest-standing insurance-linked securities (ILS) managers, explained their focus remains serving investors and being a valued trading partner with cedants.

According to reinsurance broker Gallagher Re, non-life alternative reinsurance capital grew by USD $4 billion, or 4% over the first half of 2025 to reach $118 billion, with the broker also noting that traditional reinsurance capital is growing at a faster rate.

Investment banking giant Goldman Sachs has hired two experienced catastrophe bond and insurance-linked securities (ILS) structuring specialists, as it looks to expand its capabilities in the space once again, Artemis has learned.

Nephila Capital, one of the world’s largest and longest-standing insurance-linked securities (ILS) managers, has selected financial technology provider SEI to support its back and middle-office operations in both North America and the UK, as the manager continues to grow its presence in the ILS market.

Reflecting on the substantial growth that’s been seen across the insurance-linked securities (ILS) market over the last few years, Gareth Abley, Co-Head of Alternative Strategies at MLC Asset Management maintains his belief that the space remains “really attractive” today.