Twelve Capital and Farsight Partners combine expertise in a strategic partnership
Life insurance plays an important role in the economic stability of societies by offering financial protection to people's biometric risks such as death, long life and invalidity. The importance of the life insurance industry is evidenced by the heavy regulation that exists across geographic locations. Insurance-Linked Securities (ILS) can provide capital as well as risk capacity to the life insurance industry, promoting its growth and efficiency
Investors are increasingly familiar with the importance of ILS to a diversified asset portfolio, with insurance risk offering a diversifying source of returns to traditional assets. Life risks are further diversifying, including to traditional ILS, and provide further scope for building an alternatives portfolio.
Paul Whiting, CEO & CIO at Farsight Partners comments: “Life ILS investments can allow market participants to grow and fill protection gaps, or in some cases, make the industry more resilient by offering risk capacity to the (re-)insurers. Our strategic partnership with Twelve Capital brings together highly specialised and complementary skill sets and an institutional-quality investment management platform.”
Urs Ramseier, Executive Chairman of Twelve Capital, adds: “The Farsight team has long and wide experience in investing in Life ILS, including structuring bespoke solutions for the industry and investors. Our partnership allows us to focus on long-term trends and market inefficiencies in the global life insurance industry, complementing our ILS expertise to provide a stable, long-term, lighter tail and diversifying source of return to our investors.”