Life insurance-linked securities in Asia - ILS Asia 2020 panel

Episode 25,   Sep 21, 2020, 01:25 PM

This podcast episode features a panel discussion on life insurance linked securities, covering what cedants and investors need to know about life ILS as an asset class right now under the shadow of the COVID-19 pandemic.

This podcast episode features a panel discussion on life insurance linked securities, covering what cedants and investors need to know about life ILS as an asset class right now under the shadow of the COVID-19 pandemic. 

The discussion was held at our recent ILS Asia 2020 conference and it was the first time we introduced life ILS to our Asian audience. 

Overall, the impacts of the ongoing Covid-19 pandemic are expected to be positive for opportunities in the life insurance-linked securities (ILS) space, according to Luca Tres, Partner, Head of Life, Securis Investment Partners. 

While Tom Spreutels, Head of Origination, Life & Alternative Credit, Leadenhall Capital Partners, explained that he hopes that altered risk perception would translate into more deal flow in the life ILS sector. 

"On the one hand, there is less risk appetite from the non-specialist players which brings an opportunity for us. Secondly, it probably also means that people in the industry who have been affected by this secondary impact, i.e. the market impact, may start thinking about doing something, which means attractive opportunities for us to go and play, and be part of a solution to the problem that people may be waking up to,” Spreutels said. 

Tres from Securis said, “If the ILS community manages to come out of the worst pandemic of our lives without any substantial loss, I think we pretty much achieved our goal, by providing something uncorrelated and resilient for our investors.” 

Adding that, “So, as a whole I actually see Covid-19 to have a positive impact for our industry, because it translates into better opportunities for us to deploy money, and it translates to opportunities to find even more attractive returns,” said Tres.