Fermat Capital Management

Returns from ILS funds tracked by Trading Risk fell to an average Q1 return of 0.63 percent to 0.65 percent in cat bond and multi-instrument funds.

The ILS investor says 7 percent annual returns have made the asset class an attractive opportunity for the fund.

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

The average second quarter returns for a group of ILS funds tracked by Trading Risk has increased to 1.36 percent, compared with 0.79 percent for the same quarter last year.