Swiss Re Insurance-Linked Investment Advisors

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Swiss Re Insurance-Linked Investment Advisors Corporation

Swiss Re's dedicated Cat Bond investment manager

About SRILIAC

SRILIAC brings Swiss Re's capabilities in catastrophe bond ("Cat Bond") investing, natural catastrophe modelling and underwriting to institutional investors. Swiss Re's franchise in Insurance-Linked Securities ("ILS") is rooted in our continuous commitment to the development and growth of the ILS market since its inception and across the entire value chain. For over twenty years, Swiss Re has been investing and trading in Cat Bonds.

SRILIAC is opening Swiss Re's Cat Bond and Industry Loss Warranty ("ILW") portfolio management capabilities to third-party capital. The investment team leverages Swiss Re's proprietary natural catastrophe models, underwriting tools, expertise, and other resources from Swiss Re Group for the benefit of institutional investors.

Swiss Re believes that the relative value offered by Cat Bonds coupled with their low correlation to the broader financial market makes the asset class an attractive allocation for investors.

Liquidity and transparency around pricing, well defined structures and event definitions set Cat Bonds apart from other less transparent ILS strategies. Moreover, the Cat Bond market is very reactive to market dislocations, offering opportunities for trading and therefore outperformance.

SRILIAC's focus on managing Cat Bond strategies aligns with investors who value enhanced liquidity and transparency in their ILS allocations.

SRILIAC's investment philosophy is centered around disciplined risk selection coupled with active portfolio management, all in the context of current market dynamics and trends.

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As the Cat Bond market expands with new sponsors and risk profiles, partnering with an experienced investment team with a track record of successful risk selection, underwriting and active portfolio management is key to a long-term ILS strategy.​

Risk knowledge Knowledge and Expertise

Expertise leveraging Swiss Re’s knowledge and proprietary natural catastrophe modelling and underwriting tools, powered by a state-of-the-art portfolio analytics and data framework.

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what we offer Experience

An experienced Swiss Re investment team with expertise in natural catastrophe modelling, underwriting, ILS trading and portfolio management, coupled with an extensive and deep market knowledge.

SRILIAC's Investment Team Learn more about the team

What we do Active Portfolio Management

Targeting total return through active portfolio management

  • Allocating capital dynamically by Cat Bond “sectors” to capture relative value and pricing dislocations
  • Actively trading Cat Bonds through pricing inefficiency and price cycles
  • Actively evaluating event trading opportunities for dynamic risk management and/or opportunistic trades
  • Selectively adding ILWs to boost risk premium

what we do Disciplined Risk Selection

Targeting optimized risk-adjusted returns

  • Leveraging Swiss Re’s proprietary natural catastrophe modelling and underwriting tools to provide an independent and transparent risk view
  • Utilizing a strict underwriting and due diligence process to evaluate each investment opportunity
  • Boosting risk adjusted returns through strong underwriting knowledge and experience

what we do ESG Approach

SRILIAC's approach to sustainability in its investment process is described in its ESG Policy

SRILIAC considers sustainability risks, alongside other factors, in its investment decision process and risk monitoring functions to the extent that they represent potential or actual material risks to the investments. SRILIAC proactively identifies and mitigates sustainability risks in its portfolio by applying a rigorous exclusionary screening process whereby a potential investment must meet certain minimum ESG safeguards before being considered as an eligible investment for the portfolio. This exclusionary screening process is based on specific criteria consistent with the Swiss Re group ESG risk framework. Beyond this exclusionary screening process, SRILIAC also monitors and manages sustainability risk from a portfolio-level standpoint. Sustainability-related information in compliance with the requirements of the EU Sustainable Finance Disclosure Regulation can also be found in SRILIAC's statement of no consideration of adverse sustainability impacts ("PAI Statement") and SRILIAC's ESG Policy.

Sustainable Investment Policy about what we do

Website Disclosure

Swiss Re Insurance-Linked Investment Advisors Corporation is registered with the U.S. Securities and Exchange Commission as an investment adviser under the Investment Advisers Act of 1940, as amended. Additional information about Swiss Re Insurance-Linked Investment Advisors Corporation is available on the SECʼs website at: www.adviserinfo.sec.gov. Registration with the SEC does not imply any level of training or skill and the information herein (including, without limitation, any investment performance results) have not been reviewed, approved, or verified by the SEC or by any state securities authority.

Further Information

Glossary

"Insurance-Linked Securities" or "ILS"

are financial instruments that transfer the risks of insured events and/or insured losses from insurance, reinsurance companies, corporations, and government entities to investors in the capital markets.

"Cat Bond"

is a debt-like security that transfers the risk of catastrophic and extreme events from insurance companies, reinsurance companies, corporations, and governments, etc. to the capital markets.

"Industry-Loss Warranty" or "ILW"

is a reinsurance contract whose payouts are linked to a predetermined trigger of estimated industry losses and the protection buyer's insured actual losses.

"Catastrophe Derivative"

is an over-the-counter ("OTC") derivative contract whose payouts are linked to a predetermined trigger of an index related to catastrophe events (e.g. physical parameters or estimated industry losses).

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