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The pension insurer is seeking others to form an investor group challenging a Markel buyout.
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The investor more than doubled its allocation to Elementum Advisors.
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The investor has significantly cut back its allocation over the past few years.
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Foundation Capital, Revolution’s Rise of the Rest Seed Fund, Clocktower Technology Ventures, Sure Ventures, and several angel investors, also joined the seed funding round.
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The consultant recommended the pension fund allocate $95mn to Pillar in 2022 after pulling a $41mn mandate from Nephila.
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One of the ongoing trends within the ILS market over past years has been an increasing demand from existing investors to look for something different within their portfolio.
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NatWest cited a reduction in relative risk-adjusted returns as it decreased allocations, while North Yorkshire reported outperformance across its trio of ILS investments.
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Local government pensions funds in the UK are partnering up, creating new strategies and may seek diversification.
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The Canadian pension fund and the ILS fund provide Funds at Lloyd’s capital alongside traditional reinsurers.
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Just a few months into 2021, the first natural-disaster headlines of the year are already occupying the minds of ILS insurance risk-takers. The snowstorms that brought freezing conditions to Texas will be a challenging event to evaluate for a number of reasons.
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The company said the funds raised would kick-start its effort to become a full-stack insurer.
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It will also encompass impact investment manager BlueOrchard, although the microfinancier will keep its independent identity.