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Since 1999, we’ve carefully and expertly managed third party capital.
Insurance-Linked Securities & Strategic Investments

It takes time, expertise and experience to craft something unique. For almost two decades, our Ventures team has focused on creating investment opportunities that match our capabilities in risk selection and portfolio management with the right capital. The result has been consistency and endurance through market cycles, shaping a unique franchise for our clients and investors.

Please reach out to a member of our Ventures team below with any questions or to discuss a specific need.

1.
Insurance-Linked
Securities
2.
Strategic
Investments
Our team

Aditya Dutt

President
Renaissance Underwriting Managers, Ltd.

SENIOR VICE PRESIDENT AND TREASURER
RenaissanceRe Holdings Ltd.

Michael J. Doak

Senior Vice President

Chris Parry

Managing Director

Sebastien Iaxx

Managing Director &
Portfolio Manager
Contact Sebastien
+1 441 239 4712 email

Laura Bonanno

Vice President

Matt Neuber

Vice President
1. Insurance-linked
Securities

RenaissanceRe has been an active participant in the insurance-linked securities market since the late 1990s. As a client-focused franchise, we continuously seek to find efficient capital sources to match our clients’ risk. We use ILS as an important complementary means to serve clients’ needs, as well an important component of our own general risk management strategy.

Insurance-linked securities are generally privately placed fixed income securities of which all, or a portion of, the repayment of the principal is linked to catastrophic events – for example, the occurrence of one or more hurricanes or earthquakes producing industry losses exceeding certain specified thresholds. We underwrite, model, evaluate and monitor these securities using similar tools and techniques used to evaluate our more traditional property catastrophe reinsurance business assumed.

Why Invest in ILS?

What are Insurance-Linked Securities (“ILS”)?

  • ILS are tradable debt instruments, the value of which is dependent on the occurrence of specified catastrophic events (i.e. a hurricane or an earthquake)
  • The most common form of ILS product is a catastrophe bond (“cat bond”)
  • Cat bonds are typically used as an alternative to buying a traditional reinsurance product
  • Other forms of ILS products include sidecars, collateralized reinsurance and industry loss warranties

Why should I invest?

  • ILS have low correlation with the broader financial markets and offer a high degree of diversification to an asset portfolio
  • Cat bonds in particular have historically generated higher returns and lower volatility relative to other asset classes
  • ILS are floating rate instruments and are not exposed to interest rate risk

Can I invest with RenaissanceRe?

Yes.

RenaissanceRe manages over $6B of capital invested in the reinsurance and Insurance Linked Securities asset class.

We offer multiple investment opportunities across a broad risk spectrum.

Email ils@renre.com for further information
RenaissanceRe
Fund Management

Our Ventures team works on a range of customized reinsurance transactions and we have participated in and continuously analyze other attractive opportunities in the market for insurance-linked securities and derivatives. Our products contain a number of customized features designed to fit the needs of our partners. RenaissanceRe Fund Management Ltd. manages a cat bond fund and a collateralized reinsurance fund. The Ventures team is also responsible for structuring a tradable note covering US remote risks.

The cat bond strategy offers capital markets investors the opportunity to gain exposure to a portfolio of insurance-linked securities, such as catastrophe bonds. The valuation of such instruments is largely driven by the occurrence of natural catastrophes such as hurricanes and earthquakes, which are uncorrelated to the financial markets. Cat bonds are structured as floating rate securities and issued under Rule 144A. Cat bonds offer an attractive risk-adjusted return that is non-correlated with the broader capital markets.

The collateralized reinsurance strategy provides exposure to natural catastrophe risks in both the reinsurance and retrocession (“retro”) markets on a fully collateralized basis. The collateralized reinsurance product is similar to traditional reinsurance but capacity is typically provided by an unrated entity and the underlying contract is required to be fully collateralized. Our strategy focuses on both worldwide aggregate and per-occurrence primary and the retrocessional property catastrophe excess of loss markets.

The tradable note provides RenaissanceRe with proportional reinsurance on a select portfolio of U.S. property cat risks. The structure allows both our institutional investors and our cat bond fund access to risks that would not ordinarily be transferred to the capital markets.

Joint ventures

We actively manage two property catastrophe-oriented joint ventures – Top Layer Re and DaVinci Re – which allow us to leverage our access to business and our underwriting capabilities on a larger capital base. Renaissance Underwriting Managers, Ltd. acts as the exclusive underwriting manager for each of these joint ventures.

News
26 February 2018
RenaissanceRe’s ILS and managed capital assets hit $3.6 billion
> READ MORE
18 January 2018
RenaissanceRe to Acquire Minority Shareholding in Catalina
> READ MORE
More News

Contacts

Aditya Dutt

President
Renaissance Underwriting Managers, Ltd.

SENIOR VICE PRESIDENT AND TREASURER
RenaissanceRe Holdings Ltd.

Sebastien Iaxx

Managing Director &
Portfolio Manager
Contact Sebastien
+1 441 239 4712 email

Chris Parry

Managing Director

Laura Bonanno

Vice President
2. STRATEGIC
INVESTMENTS

Ventures pursues strategic investments where, rather than assuming exclusive management responsibilities ourselves, we partner with other market participants.

These investments are directed at classes of risk other than catastrophe reinsurance, and at times may also be directed at non-insurance risks.

We find these investments attractive because of their expected returns, and because they provide us with diversification benefits and information and expotsure to other aspects of the market.

Contacts

Aditya Dutt

President
Renaissance Underwriting Managers, Ltd.

SENIOR VICE PRESIDENT AND TREASURER
RenaissanceRe Holdings Ltd.

Matt Neuber

Vice President

Michael J. Doak

Senior Vice President
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