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Sidecars

  • Bernstein Research analysts have warned investors in the alternative reinsurance space to ensure fund managers are maintaining discipline as traditional carriers look to arbitrage new capital providers.
  • More insurance buyers are expected to use insurance-linked securities (ILS) to access the reinsurance market, according to broker Guy Carpenter.
  • BlackRock is working with global P&C insurer Ace to create an internal reinsurance vehicle that could see significant amounts of ceded premium siphoed off from the traditional market, sister title The Insurance Insider has revealed.
  • Willis Re CEO John Cavanagh has said that the biggest challenge in the current market is the attitude of reinsurance buyers, as clients continue to purchase less cover despite falling reinsurance pricing.
  • Munich Re board member Thomas Blunck said that sharing more peak catastrophe risk with investors and retrocession providers had helped to improve the firm's competitiveness by reducing the amount of capital it had to set aside for the portfolio.
  • Peter Nakada is set to join mutual fund manager Stone Ridge Asset Management in October, leaving modelling agency RMS after nine years.
  • Markel's reinsurance division has added to its retro team in Bermuda, announcing the hires of Erik Manning and Jamie Welsby as managing directors and John Duda as assistant vice president and reinsurance underwriter.
  • Greenlight Re CEO Bart Hedges said that it might make sense for individual reinsurers to raise third-party funds but at an industry level this behaviour exacerbates the problem of over-capacity.
  • Alternative reinsurance capital grew by 18 percent in the first half of 2014 to reach $59bn, outpacing growth in the traditional reinsurance market, Aon Benfield Analytics has estimated.
  • Horseshoe Group has recruited former Flagstone Re executive Brent Slade to fill the newly-created role of chief operating officer.
  • DaVinci investor raises stake; Lancashire targets $500mn for Kinesis; AlphaCat AuM reaches $1.49bn
  • A handful of reinsurer sidecars accrued average returns of 3.8 percent during the first four months of 2014, according to the latest results from mutual fund manager Stone Ridge
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