Author: Greg Winterton
UK Regulators analyse Funded Reinsurance risks in Pension Risk Transfers; PRA raises portfolio recapture concerns.
UK Regulators analyse Funded Reinsurance risks in Pension Risk Transfers; PRA raises portfolio recapture concerns.
It’s well documented that the pension risk transfer (PRT) market in the UK has a human capital problem, in the sense that there aren’t enough people to fill the vacancies in the space. Greg Winterton spoke to TC Jefferson, Managing Partner at executive search firm The Plenum Group, to learn more about the going on in the space. GW: TC, there is plenty of coverage in the trade media about this apparent ‘challenge’ that firms in the pension risk transfer market face when it comes to hiring. Just how ‘real’ is this issue? TCJ: Thanks Greg. I can assure you…
UK Regulators analyse Funded Reinsurance risks in Pension Risk Transfers; PRA raises portfolio recapture concerns.
UK Regulators analyse Funded Reinsurance risks in Pension Risk Transfers; PRA raises portfolio recapture concerns.
Red hot pension risk transfer market creating competition for talent
Despite their industry now being two decades old (in its current form), life settlement asset managers still, occasionally, have to undertake the role of educator when discussing the asset class with a potential new investor. One question that is known, anecdotally, to come up is: ‘Why would anyone want to sell their life insurance policy?’ After all, in many countries in Europe, the Middle East and Asia, you can’t sell it, so those less familiar with the nuances of Grigsby vs Russell – and the multi-billion-dollar industry that the case created (albeit approximately 90 years later) – will not know…
Like most asset classes in the alternative credit market, the life settlement industry has had an interesting few years as macroeconomic changes have impacted fundraising and deal flow. Greg Winterton spoke to Anna Bailey, Managing Partner at asset manager Chestnut Capital Management, to get her thoughts on the current state of the space. GW: Anna, let’s start with something general. What’s your view of the impact of the macroeconomic environment of the past few years on the life settlement market – on both fundraising and deal flow? AB: The market is still steadily growing – not quite the way I…
Data and analytics firm PitchBook published its full year 2023 report on the insurtech industry in early March, showing that activity from the venture capital funds in the space delivered a six-year low in both the number of deals completed (486) and the aggregate value of deals ($5.6bn). The data wasn’t surprising to many industry observers: the private markets experienced fundraising and dealmaking challenges last year as macroeconomic (rising interest rates) and microeconomic (the fallout from the collapse of Silicon Valley Bank in March) forces conspired to put the brakes on the extraordinary recent growth rate in the space. The…
The alternative credit industry experienced something of an up-and-down year in 2023. On one hand, fundraising pulled back as investors rotated into more liquid, higher yielding credit investments, and on the other, existing funds, particularly in the private debt space, with floating rate loans enjoyed higher returns. The impact of higher interest rates was certainly felt keenly in the life ILS corner of the alternative credit space last year, in both capital raising and deal activity. In the former, the reasons were consistent with the alternative credit market at large. But in deal flow, certain trades experienced a retraction in…