Member Info for euclid55

ALTERNATIVE ASSET OPPORTUNITIES PCC LTD - a fund from Allianz Global Investors, Investment manager: SL Investments ltd

Https://uk.allianzgi.com/-/media/allianzgi/eu/unitedkingdom/documents/aao-annualfinancialreport300616.pdf?la=en-gb
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The Vida Longevity Fund, LP (“VLF” or the “Fund”), is a Delaware limited partnership formed specifically to invest in senior life settlements and other longevity-contingent assets. VLF is structured as an open-ended hedge fund and offers investors the ability to receive quarterly cash liquidity.

The Fund seeks to preserve investors’ capital, while targeting net annualized returns between 10-14% that are largely uncorrelated to other asset classes and macroeconomic factors. VLF was launched April 2010; with 11.89%3 net annualized returns and a Sharpe ratio of 4.113 since inception

Http://www.integritycapitalincomefund.com/wp-content/uploads/2017/06/VLF-Performance-April-30-2017.pdf

This is an excellent read from SL Investments

Established in 1990, SL has managed or advised over 30 collective investment vehicles comprising total assets valued in excess of $2.6bn. We have around 20 trained professionals, and an executive team who average 12 years’ experience in the sector. We specialise in investment products based primarily on Secondary Life Assets sourced in the UK and US. Our ‘full service’ solution includes product design and structuring, investment negotiation & acquisition, and all aspects of managing portfolios.

SL has been an important partner over the last 22 years, serving as investment advisor, and co-manager on 4 of our publicly listed Investment Trust Funds

” Peter Ingram, Allianz Global Investors

Life Settlements are a well established asset class; since 2008, policies acquired by SL Investment Management clients have achieved an average return of 8.3%.

Our broad and independent acquisition approach has the benefit of increasing competition between brokers. This results in downward pressure on commission payments to intermediaries, which is to the ultimate benefit of both the policy vendor and secondary investor. The level and quality of information provided from multiple sources also improves the overall quality of information in respect of each policy, enabling a better informed assessment to be made of the real underlying value to the investor.

Http://neam.ch/In%20the%20News/files/life_settlement_leaflet__2016_01_-_live_.pdf

The Life Insurance Settlement Association (LISA) did just that and
estimated about $143 billion was lapsed in 2015 by policy owners 65 and
older. Clearly, there’s tremendous untapped market potential that can
be realized with increased consumer awareness and aggressive
marketing strategies.

Because of the supply constraint, perhaps the most promising growth
position is in consumer awareness and marketing. Settlement providers
have seen the writing on the wall, and this realization is manifesting
itself in direct-to-consumer efforts and aggressive marketing campaigns.

About $143 billion in life insurance owned by people 65 and over was
lapsed in 2015, and surveys have indicated that 90% of those individuals
would have considered a life settlement had they been aware of the
option. These statistics clearly illustrate the imperative of the market.

The life settlement industry has surpassed the expectations of those who
have attempted to forecast it. The 2016 Conning report predicted 1-2%
growth per annum. Instead, the market has experienced an average
growth rate of 34% over the past few years.

Forecasting predicted that the average annual volume of settlements would be $1.8 billion
, whereas just last year the settlement volume was pegged at $2.83 billion and is expected to be $3.4 billion this year.

The attraction of institutional investors to life settlements has proved
to be a tacit recognition of their safe and steady returns. In fact, some
life settlement funds have experienced internal rates of return as high
as 20%.

https://www.magnalifesettlements.com/wp-content/uploads/2018/10/Magna_2018IndustryReport.pdf

EW YORK, June 1, 2017 /PRNewswire/ -- The Deal, a business unit of TheStreet, Inc. (NASDAQ: TST), issued results from its annual survey of the life settlement market which reveal that transactions increased 47% last year
Highlights from the report include:

• The number of policy sales grew to 1,650 in 2016, from 1,123 in 2015, while the total face value purchased increased to $2.14 billion, compared to $1.65 billion the previous year.

• Top six settlement buyers:

o Coventry First LLC led the market in the total number of transactions, buying 277 policies in 2016 compared to 168 policies the year before. Coventry First paid $51 million and purchased $264.54 million in policies.

o Magna Life Settlements, Inc. paid $159.04 million last year. Policies purchased by Magna Life Settlements totaled 266 transactions with $501.26 million in face value.

o GWG Life LLC tied for second place, also with 266 transactions last year, compared to 105 in 2015. GWG Life paid $61.03 million for $337.22 million in face value last year.

o Life Equity LLC placed fourth last year, paying $30.53 million for 150 transactions with a face value of $396 million. In 2015, Life Equity did 181 transactions with a face value of $332.78 million.

o Abacus Settlements LLC ranked fifth with 127 settlements, $34.49 million paid and a face value of $222.87 million.

o Settlement Group, Inc. ranked sixth with 122 settlements, $15.82 million paid and a face value of $138.59 million.

The full article is available online, or learn more about The Deal's Life Settlements League Tables by visiting

http://www.thedeal.com/league-tables/life-settlements/

Https://www.prnewswire.com/news-releases/market-volume-continues-to-surge-2016-busiest-year-in-secondary-market-since-2009-300467074.html

Hello, no not in the sector but very good at analysing research info in different sectors that's all.

It justifies my investment in various co's by doing in depth research

Thanks

BlackOak Investors LP is a medium to long term Alternative Investment Fund (AIF) aimed at achieving steady capital growth at favourable risk adjusted rates irrespective of movements in mainstay asset classes.

The fund invests in US Senior Life Settlements - life insurance policies originally taken out by US citizens, where the individual in their senior years has chosen to sell their policy in the secondary market to an investor such as BlackOak Investors LP.

Launched in February 2014, the fund unit price at the end October 2018 was $21.6653; representing a 116.7% gain from the initial launch price of $10.0000.

Importantly, 75.6% of this performance has been achieved through realised gains. Actual policy maturities and trading profits as opposed to unrealsed gains measured against the portfolio valuation.

To our knowledge, no other manager in the market has achieved this level of sustained realised gains on a Life Settlement portfolio.

http://www.slinvest.co.uk/blackoak-lp/

London listed innovative alternative asset specialist Alpha Growth plc, (LSE: ALGW, http://www.algwplc.com), has developed a hybrid security collateralized by US life settlements, providing an attractive risk yield over a 10-year term with minimal correlation, compared with other fixed income and asset classes.

Alpha Growth plc developed HYR after surveying financial institutional investors who were highly regulated and generally disciplined in their investment methodology. The target audience was insurers looking for an offering with minimally correlated returns and higher predictable cash flows; yet with minimal impact on their regulatory capital requirements.

After conducting a thorough review of the detailed HYR model that included various stress testing, a big four accounting firm mandated with reviewing the Solvency II implications and other items, concluded that regulated insurers under Solvency II could generate Matching Adjustment (MA) compliant assets with significant capital saving from HYR compared to an equivalent BBB bond.

https://zakmir.com/2018/02/06/continued-lower-yields-in-2018-an-alternative-that-provides-a-solution-for-institutional-investors-seeking-attractive-yields-to-keep-up-with-longer-term-liabilities/

Devonshire Warwick
‏

@DWCAPLLP
Sep 18
More
Devonshire Warwick Capital LLP has been mandated to raise assets for Dara Wealth Management ,an independent wealth firm, with offices in Zurich and New York, with over USD700 million AUM in in both traditional and alternative asset classes. #familyoffice #directlending

https://twitter.com/DWCAPLLP/status/1042059007647776769

https://twitter.com/DWCAPLLP/status/1042059007647776769

Devonshire Warwick Capital LLP has been mandated to raise assets for Dara Wealth Management ,an independent wealth firm, with offices in Zurich and New York, with over USD700 million AUM in in both traditional and alternative asset classes. #familyoffice #directlending

Thanks for your post Andysparra, it seems many here overlooked my in depth postings relating to the industry & product I posted this Monday morning, amazing!

The Risk Transformation Regulations 2017 introduce a bespoke regulatory framework for insurance-linked securities business in the UK, announced at Budget 2015. The regulations comprise three main elements. First, they provide for UK regulators to apply a new authorisation and supervisory regime for insurance-linked securities vehicles in the UK

EY has estimated that the market could grow to $224 billion by 2021, and the CEO of Securis, a UK-based insurance-linked securities fund has said that,

“the opportunity set for ILS has never been better”.

It is therefore the right time for the UK to improve its offer in this market. These regulations will be accompanied by new tax regulations that provide for a more competitive and straightforward tax treatment for authorised insurance-linked securities vehicles in the UK. The moves have been welcomed by the industry.

I am pleased to say that the London Market Group, which represents London’s insurers and reinsurers, has welcomed this new framework for insurance-linked securities business.

https://www.theyworkforyou.com/lords/?id=2017-11-07b.1718.0

See below share options details taken from the Admission Doc: pages 34/35

the 30p options to DS is made up BS, just to help in ramping, which doesn't need ramping:

Option pool

Following Admission, the Directors intend to put in place a share option plan, pursuant to which options representing up to 10 per cent. of the Company’s issued share capital from time to time can be issued to eligible directors and employees. The Directors intend that the rules of plan will provide the board will flexibility to grant options with differing vesting and exercise price provisions but for senior employees and directors any hurdles which must be met before options vest and the relevant exercise price will be appropriate and in line with normal corporate governance standards.

Remuneration Committee

The remuneration committee will review the performance of the executive directors and make recommendations to the Board on matters relating to their remuneration and terms of employment. The committee will also make recommendations to the Board on proposals for the granting of share awards and other equity incentives pursuant to any share award scheme or equity incentive scheme in operation from time to time.

Http://algwplc.com/wp-content/uploads/2017/12/AlphaGrowthPLC.pdf

Schroders announces the launch of Schroder Life ILS. The specialist fund will invest in Life insurance-Linked Securities (ILS) and offer investors high diversification against traditional asset classes, with attractive risk-adjusted returns, at a time where there is a growing Life ILS market offering more opportunities.

The strategy will be run across several funds/mandates in closed-end vehicles with a 10- year maturity and launches with US$ 750 million of committed capital. The strategy has exposure to a range of life and health insurance risks, primarily relating to value of in-force (VIF) transactions, mortality, morbidity (health), and lapse risks.

https://www.schroders.com/en/media-relations/newsroom/all_news_releases/schroders-expands-ils-offering-with-the-launch-of-schroder-life-ils/

The Company is also aware through its corporate finance contacts of groups of Institutional investors who want to obtain an exposure to the SLS asset class as a means of asset diversification but which may not have the financial ability or the desire to buy and manage entire portfolios. These corporate finance houses are proposing to establish SPVs (likely to be established in Ireland) which are funded by bond issues to these investors.

The Company’s role will be to provide specialist advisory services to the corporate finance house on the initial portfolio acquisition transaction, and additionally, where possible, to introduce possible investors to the corporate finance houses.

http://algwplc.com/wp-content/uploads/2017/12/AlphaGrowthPLC.pdf

On 4 December 2017, a new set of regulations came in-force which will allow Insurance-linked Securities (“ILSs”) to be written in the UK. Insurance companies now have an exciting new set of tools in the box to manage their capital and risks.

Insurance-linked securities allow insurance and reinsurance companies to transfer their risks to the capital markets, as an alternative to the traditional reinsurance market. It does this by using insurance special purpose vehicles (“ISPVs”) to accept insurance risk and transforms them into capital market instruments, such as debt or equities. Investors can then invest in these instruments for an appropriate rate of return.

It is hoped that the new rules, combined with the expertise and regulatory oversight of a leading financial centre such as London, will not only attract this growing business to the UK but extend it to areas that have, up till now, been largely untapped, particularly the transfer of life insurance risks.

Although these vehicles already exist on some off-shore locations, it is envisaged that investors and issuers will draw significant comfort from the rigour and expertise of the UK financial system.

We believe that investors can be attracted to this market as these investments can provide better returns than other, more straightforward returns, investments. And some types of insurance risks, such as longevity risks, are generally stable and well-understood within the industry. As insurance risk is fairly specialised, however, investors may need significant levels of education and support to understand the specific risks.

https://www.hymans.co.uk/news-and-insights/research-and-publications/publication/briefing-note-insurance-linked-securities/

Changes to regulations and market conditions will lead to changes in strategy

Draft capital requirements for credit spread risk under the Solvency II standard formula increase significantly with bond duration, penalising longer-dated bonds. While this looks likely to result in lower capital charges for short-duration, high-quality paper (Figure 3), these assets provide neither a good cashflow match for longer-dated liabilities, nor meaningful reward in the present low yield/high volatility economic environment.

As such, many annuity writers may begin to look outside the traditional investments of government and corporate bonds in search of higher yielding assets or ways of de-risking their investment portfolios in order to achieve an optimal capital position.

http://www.theactuary.com/features/2013/03/asset-strategies-for-life-annuities-under-solvency-ii/

NEW YORK—November 7, 2018— BroadRiver Asset Management, L.P., the New York based alternative fixed-income asset manager, has closed its third longevity fund, BroadRiver III, L.P., with committed capital of $876 million. BroadRiver III includes commitments from a broad range of global institutional investors, including public, private, and sovereign pension plans, endowments and foundations, and large family offices. Denning and Company LLC, a San Francisco-based alternative fund placement firm, acted as the lead global agent.

http://www.elsa-sls.org/broadriver-closes-876-million-in-third-life-settlement-fund/

If an insurer can structure its life settlements holding so that it can be treated as a negative liability under Solvency II rather than an asset, then under this regime it would be expected to:

• Improve its solvency position.

• Recognize a day one release of free assets not normally achieved with “typical” insurance company investments.

• Avoid any matching adjustment considerations. Such considerations may be relevant should the holding be structured as an asset.

The key reason for the benefits above is that internal rates of returns, relating the purchase price to the expected cashflows for life settlements assets, are usually in excess of 10%. This internal rate of return is significantly higher than an (adjusted) risk-free rate applied to a Solvency II balance sheet.

Not surprisingly, protection providers receive the greatest day one release of free assets from life settlements investment because such insurers experience diversification benefits from taking incremental longevity risk exposure.

http://www.elsa-sls.org/wp-content/uploads/pdf/valuation-and-modelling-approaches

lost plenty out on EQT, so he is deramping others that are invested in Alpha - just has it in for them somehow, so he is constantly deramping Algw.