British Pensions Bet On Catastrophe Reinsurance

Mar 12 2010 | 9:01am ET

A group of British pension funds has poured US$340 million into a catastrophe reinsurance hedge fund.

The allocations were made by 11 U.K. pensions in the second half of last year to the US$2.6 billion fund, managed by Nephila Capital. The Man Group owns 25% of Bermuda-based Nephila.

“Insurance payouts for damages caused by hurricanes Gustav and Ike and the heavy investment losses and liquidity constraints brought about by the financial crisis have led to a major market shakeout,” Nephila’s Greg Hagood told Investment & Pensions Europe. “Remaining participants, such as Nephila, have therefore been able to capitalise on this opportunity and charge higher catastrophe premiums.”


In Depth

Q&A: Rotation Capital's Rothfleisch On SPAC 2.0

Aug 11 2017 | 7:43pm ET

Corporate actions have long been a staple of event-driven investors, but activity...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Star Mountain: Private Lending in the Lower Middle-Market

Aug 14 2017 | 4:45pm ET

Private credit has become one of the most popular alternative asset classes in recent...

 

From the current issue of