Swiss Re creates natural catastrophe investment fund
Reprints
Swiss Re Ltd. will allow investors to access its natural catastrophe portfolio through the creation of an investment fund, the reinsurer said in a statement Monday.
Swiss Re subsidiary Swiss Re Insurance-Linked Investment Management Ltd., which has been cleared by the Swiss Financial Market Supervisory Authority to act as an asset manager for investment funds, will manage a standalone fund company, 1863 Fund Ltd. Investors will be able to access Swiss Re's natural catastrophe business through the Core Nat Cat Fund, the initial fund under the newly created company, the statement said.
Martin Bisping, CEO of Swiss Re Insurance-Linked Investment Management Ltd., said in the statement the fund will allow investors to invest in the same book of business as Swiss Re.
Swiss Re created its Alternative Capital Partners team in 2019 to establish investment partnerships with third parties through various forms, such as insurance-linked securities, retrocession, sidecars and the newly created fund platform.
This move to attract additional alternative capital through a standalone fund company “is in line with Swiss Re’s strategy to expand its natural catastrophe capacity,” the statement said.
John Dacey, Swiss Re’s group chief financial officer, said broadening partnerships with alternative capital providers is part of the company’s “clear pathway for its Alternative Capital Partners strategy.”
