Artemis Live - Insurance-linked securities (ILS), catastrophe bonds (cat bonds), reinsurance

For this one of our sponsor showcase video interviews, for the upcoming Artemis ILS NYC 2022 conference (held April 22nd in New York City), we welcomed speakers from one of our Associate sponsors for the conference, global banking and broking company Truist. As ever, we’re looking at the development of the insurance-linked securities (ILS) market with one eye to the future, as is the way with Artemis’ ILS events. You can register for the event online here: https://www.artemis.bm/ils-nyc-2022/  Joining us for this conversation were Matt Gelber, Head of Insurance Investment Banking, and Andy Devries, Managing Director of Insurance Investment Banking, both from Truist Securities.  The pair discussed insurance industry capital trends, with a specific focus on how the insurance-linked securities (ILS) market has proven to be both disruptive and a source of efficient capital for ceding companies.  In addition, Gelber and Devries also explained some of the investor trends they see from their vantage point at Truist Securities and how ILS plays into those.  Truist Securities is a service mark of Truist Financial Corporation. All rights reserved. Truist Securities is the trade name for the corporate and investment banking services of Truist Financial Corporation and its subsidiaries. Securities and strategic advisory services are provided by Truist Securities, Inc., member FINRA and SIPC. Lending, financial risk management, and treasury management and payment services are offered by Truist Bank. Deposit products are offered by Truist Bank, Member FDIC.

For this one of our sponsor showcase video interviews, for the upcoming Artemis ILS NYC 2022 conference (held April 22nd in New York City), we welcomed speakers from one of our Associate sponsors for the conference, global law-firm Mayer Brown. As ever, we’re looking at the development of the insurance-linked securities (ILS) market with one eye to the future, as is the way with Artemis’ ILS events. You can register for the event online here: https://www.artemis.bm/ils-nyc-2022/  Joining us for this conversation were Steve Rooney, Partner and Co-leader of Mayer Brown's Global Insurance Industry Group; Ricky Spitzer and Colin Scgall, both Partner's in the Global Insurance Industry Group of the law firm.  The trio highlighted some trends they are watching in insurance-linked securities (ILS), in terms of still converging reinsurance and capital market activities, as well as in certain structures such as catastrophe bonds and reinsurance sidecars.  They also discussed the emergence of new domiciles for ILS issuance, such as Singapore, Hong Kong and London, highlighting what is working, and where there is more work to do.  Finally, the three legal executives explained some of the opportunities they see for the ILS market, including environmental, social and governance (ESG), new sponsor entrants and new uses of cat bonds to support humanitarian goals.

For this one of our sponsor showcase video interviews, for the upcoming Artemis ILS NYC 2022 conference (held April 22nd in New York City), we welcomed Tom Mackay, Senior Vice President and Vivian Ly, Client Relationship Manager, both from one of our Silver sponsors for the conference, global banking group HSBC.  As ever, we’re looking at the development of the insurance-linked securities (ILS) market with one eye to the future, as is the way with Artemis’ ILS events. You can register for the event online here: https://www.artemis.bm/ils-nyc-2022/  HSBC is one of the largest banking groups in the world and offers a range of services that are used within ILS transactions, not least escrow and corporate trust, as well as adjacently across the insurance and reinsurance world.  But with its global scale, it’s always interesting to hear the views of a major player in finance on a niche sector like insurance-linked securities.  Tom and Vivian discussed a range of issues with us, but one highlight of the interview is HSBC's expectation that the importance of environmental, social & governance (ESG) will grow for the ILS market and cascade through to the service provider level as well.

For this one of our sponsor showcase video interviews, for the upcoming Artemis ILS NYC 2022 conference (held April 22nd in New York City), we welcomed Stephan Ruoff, Global Head of Insurance-Linked Securities (ILS) and Mark Gibson, Head of Products and Solutions ILS, both from specialist investment manager Schroders Capital, one of our Gold sponsors for the conference. As ever, we’re looking at the development of the insurance-linked securities (ILS) market with one eye to the future, as is the way with Artemis’ ILS events. You can register for the event online here: https://www.artemis.bm/ils-nyc-2022/  Speaking to one of the key themes of our upcoming conference, Stephan Ruoff explained the need for the ILS industry to work on providing more predictable outcomes to its investors.  "As an industry we've not done too well over the last five years at creating predictable outcomes, so we need to change that and come back to things like underwriting, structuring, analytics and have these properly set, so that our investors can rely on these predictable outcomes," Ruoff said.  Ruoff explained that delivering on investor expectations is more important than growth for ILS managers.  Mark Gibson further explained the need for the ILS asset class to be increasingly accessible.  "That means providing diverse investment products or strategies for investors to tap into. We have a range of funds already, but we intend to keep broadening that range of funds, so that there's choice," Gibson said.  Listen to the full interview for the pair's thoughts on growth opportunities in the ILS market and the importance of ESG for the asset class.

For this one of our sponsor showcase video interviews, for the upcoming Artemis ILS NYC 2022 conference (held April 22nd in New York City), we welcomed Rob Hauff, Portfolio Manager at Vesttoo, one of our Gold sponsors for the conference. As ever, we’re looking at the development of the insurance-linked securities (ILS) market with one eye to the future, as is the way with Artemis’ ILS events. You can register for the event online here: https://www.artemis.bm/ils-nyc-2022/  Vesttoo is seeking to deliver investors a differentiated type and source of insurance-linked returns, with a non-catastrophe risk focus, innovative investor access points and the use of advanced technology to aid in modelling and structuring risks and investment opportunities.  Hauff joined us to discuss how Vesttoo is helping to unlock new categories of risk for investors, through its work in creating artificial intelligence risk models and the recently developed Insurance Linked Program, or ILP.  "Vesttoo's ultimate strategy is to become the marketplace where the need for reinsurance capacity marries up with the capital markets," Hauff explained.  Adding that, "I think it's possible that as the reach improves, with the introduction of lower-volatility instruments that we offer, we could generate more consistent returns over-time and reach a broader audience of investors."

For this one of our sponsor showcase video interviews, for the upcoming Artemis ILS NYC 2022 conference (held April 22nd in New York City), we welcomed Vincent Prabis, Managing Principal at Hiscox ILS, one of our Gold sponsors for the conference.  As ever, we’re looking at the development of the insurance-linked securities (ILS) market with one eye to the future, as is the way with Artemis’ ILS events. You can register for the event online here: https://www.artemis.bm/ils-nyc-2022/  Hiscox ILS is the dedicated insurance-linked securities (ILS) investment fund management unit of the global Hiscox re/insurance group and with broad access to originate business, as well as an established ILS fund franchise, Prabis explained that Hiscox ILS is targeting growth in the improved market conditions of 2022.  Prabis discussed market conditions and how Hiscox ILS is positioned after the key January reinsurance renewals.  He revealed that Hiscox ILS was successful in raising some new funds from its investors for 2022 and Prabis said that Hiscox ILS is aiming to grow through the rest of this year, while the market is so favourable.

For this one of our sponsor showcase video interviews, for the upcoming Artemis ILS NYC 2022 conference (held April 22nd in New York City), we welcomed Brittany Baker, Director of Technical Sales at CyberCube, one of our Gold sponsors for the conference.  As ever, we’re looking at the development of the insurance-linked securities (ILS) market with one eye to the future, as is the way with Artemis’ ILS events. You can register for the event online here: https://www.artemis.bm/ils-nyc-2022/  CyberCube is a specialist in cyber risk modelling and with this being an area of insurance and reinsurance that has often been described as capacity deprived, for numerous reasons, CyberCube has ambitions to help unlock ILS capacity to support cyber risk underwriting using its advanced technology and risk models.  Baker explained that education and transparency remain key, in encouraging new capital sources into the cyber insurance and reinsurance market.  "As insurance groups are able to better understand them a more clear narrative will emerge and it will be easier to demonstrate, even to those who are not cyber security experts. I think that will allow us to bridge the gap between the ILS investor base and the insurance industry," she explained.

For this one of our sponsor showcase video interviews, for the upcoming Artemis ILS NYC 2022 conference (held April 22nd in New York City), we welcomed senior executives from major global re/insurer AXIS Capital, one of our Gold sponsors for the conference. Joining us were: Ann Haugh, President of Global Property, Reinsurance; Katie Partington, Chief Underwriting Officer, Reinsurance; and Chris Caponigro, Global Head of AXIS ILS. As ever, we’re looking at the development of the insurance-linked securities (ILS) market with one eye to the future, as is the way with Artemis’ ILS events. You can register for the event online here: https://www.artemis.bm/ils-nyc-2022/  We discussed how AXIS Capital has been utilising third-party capital and partnering with investors within its underwriting operations and what the executives foresee for the future use of ILS at the company.  AXIS Capital has been leveraging third-party capital within its underwriting business for more than a decade, and the unit dealing with this was rebranded AXIS ILS last year and has been staffing up ever since, suggesting a growing focus.  The company is open to partnering with insurance-linked securities (ILS) investors on a wide-range of risks and believes all of its portfolios of insurance and reinsurance risk have the potential to be attractive to investors.

For this one of our sponsor showcase video interviews, for the upcoming Artemis ILS NYC 2022 conference (held April 22nd in New York City), we welcomed Lorenzo Volpi, Managing Partner at specialist ILS and reinsurance investment manager Leadenhall Capital Partners, one of our Gold sponsors for the conference. As ever, we’re looking at the development of the insurance-linked securities (ILS) market with one eye to the future, as is the way with Artemis’ ILS events. You can register for the event online here: https://www.artemis.bm/ils-nyc-2022/  Volpi provided an update on investor trends in the insurance-linked securities (ILS) space, explaining that after a series of catastrophe losses in 2021, investors have become increasingly curious and want to understand how ILS fund managers, like Leadenhall, are applying lessons learned.  In addition, investors are seeking to understand how ILS managers are positioning themselves to take advantage of opportunities in the current reinsurance market environment.  While other key investor trends are, as you might expect, climate change and climate risk, as well as environmental, social and governance (ESG) issues.  "Ultimately investors welcome client-servicing intimacy and an open and transparent dialogue, because the investment long-term benefits should be obvious to everyone and you don't want to surprise them, of course," Volpi said in the interview.

For this one of our sponsor showcase video interviews, for the upcoming Artemis ILS NYC 2022 conference (held April 22nd in New York City), we welcomed Thomas Nuth, the Vice President of Marketing at DeNexus, one of our Bronze sponsors for the conference.  DeNexus is a specialist provider of software for cyber risk quantification and its DeRISK Insurance product enables quantification of the cyber risk of industrial enterprise clients and client portfolios for underwriters, helping reinsurers and ILS investors gain visibility and understanding of cyber risks they may face.  Thomas explained the DeNexus approach to cyber and in particular what its DeRISK Insurance product offers to insurers, reinsurers and ILS investors looking to underwrite or allocate capital to cyber risks.  He also went on to provide detailed thoughts on some of the threat vectors the insurance, reinsurance and ultimately ILS investor markets may face, as well as how DeNexus is developing its tools to help risk markets make more sense of cyber exposure and threats.