AuM data

The Latin American investment bank has backed the ILS start-up to launch a new low volatility fund in 2019.

ILS funds with life strategies reported substantially higher transaction volumes in 2018, helping to drive growth in assets under management (AuM).

The exit comes ahead of Lloyd’s closure of SPA 6129.

Trapped capital will add to losses from Michael, Jebi and the wildfires.

The manager is aiming to sell its products to investors in the UK and French-speaking Europe.

Two M&A deals in the ILS sector in the past month provide a contrasting view on what kind of acquirers may step forward in the future.

The firm warned that it expected continuing industry adverse development into 2019.

The $1bn ILW specialist will be remained NB Insurance-Linked Strategies after the sale.

The asset manager’s CFO praised the ILS fund’s excellent management.

Catastrophe losses added 9.0 points to the (re)insurer’s combined ratio as Hurricane Florence and Typhoon Jebi pushed up losses, mainly impacting its reinsurance division.

The firm’s Fermat-managed ILS portfolios lifted assets under management to $3.3bn in Q3.

UK bank Lloyds has set up a JV with the investment manager, which owns a share in $3bn ILS manager Secquaero.