Swiss Re Insurance-Linked Investment Advisors Corporation (SRILIAC), a registered investment adviser and an integral part of the global reinsurer Swiss Re, is set to take on the role of co-investment manager for GAM’s insurance-linked securities (ILS) fund suite. This collaboration, which includes the GAM Star Cat Bond UCITS Fund, will commence on May 7th, 2025.
As of March 31st, 2025, Swiss Re boasts management of approximately $5 billion in ILS assets, encompassing funds, sidecars, and customized structures. From May onward, Swiss Re will also co-manage GAM’s ILS funds, which currently hold around $3 billion in assets under management (AUM).
In its role as co-investment manager, Swiss Re will spearhead investment and portfolio management decisions. Meanwhile, GAM will sustain its role in overseeing risk management, leading global distribution, and managing product structuring. Both firms are eager to collaborate on innovative advancements within the ILS sector.
Swiss Re has been a pivotal force in the catastrophe bond market since its origins in the 1990s, acting as a significant sponsor for cat bonds and sidecars. Through Swiss Re Capital Markets, they have orchestrated cat bond transactions with a cumulative notional value of around $50 billion.
Investors partaking in GAM’s cat bond and ILS funds will gain from Swiss Re’s profound risk expertise and underwriting proficiency, supported by a team of over 50 catastrophe risk scientists, more than 190 proprietary peril models, and approximately 200 terabytes of curated portfolio data. SRILIAC, a wholly owned subsidiary of Swiss Re and a US Securities and Exchange Commission-registered investment adviser, will co-manage these funds. The unit is led by CEO and CIO Mariagiovanna Guatteri.
Guatteri remarked, “The ILS market achieved unprecedented milestones in 2024, and the impressive returns on cat bonds have underscored the asset class’s allure and diversification benefits for investors. This is an exhilarating phase for the industry, with significant interest from both cat bond issuers and investors.”
Christopher Minter, Head of Swiss Re Alternative Capital Partners, expressed his enthusiasm, stating, “We are thrilled to join forces with GAM to co-manage their cat bond and ILS investment strategies. We anticipate working alongside GAM to present Swiss Re’s unrivaled risk knowledge and cat bond industry experience to investors.”
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