Leveraged loans an asset in waiting

Leveraged loans an asset in waiting

Leveraged loans are often perceived as riskier than equivalent high-yield bonds, but market participants believe this is unfair and the asset is due a revaluation. Sarfraz Thind reports

The case against hedge fund divestment

The case against hedge fund divestment

The poor performance of hedge funds has led some insurers to slash their allocation, but the asset class has the potential to produce yield in difficult markets, as Asa Gibson reports

Catching the last wave of the credit cycle

Confronted with the prospect of an increase in default rates, insurers are hunting for yield in a more selective but expansive way, BlackRock's Zach Buchwald tells Hugo Coelho

Nordea falling out of love with illiquid assets

Nordea Life & Pensions was one of the earliest to invest in illiquid assets, which has helped steel it against the low interest rate environment since 2008. But with risks like Brexit threatening European stability, the insurer has turned away from the asset class. Sarfraz Thind talks to CIO Jesper Norgaard

Can covered bonds stage a comeback?

Covered bonds have traditionally been a favourite asset for insurers and are treated sympathetically under Solvency II, but they have fallen from grace as low yields bite into the asset class. Sarfraz Thind reports on prospects for a revival

European insurers eye sticky private credit market

European Insurers have been building up their investment in the private credit market these past three years. Although there is room for growth in this asset class, there are currently some serious caveats which need to be borne in mind. Sarfraz Thind reports

The steady rise of factor-based investing

In expectation of lower future returns, many insurers are embracing the factor-based approach either as an investment philosophy or a tool in the investment process. Benedicte Gravrand reports

"Solvency II is the missing piece in the securitisation package"

Paul Tang, rapporteur for the regulation on securitisations, urges the European Commission to ease the charges for insurers investing in simple, transparent and standardised (STS) securitisations, and rules out the introduction of compulsory third-party certification for such products demanded by the industry. He speaks to Hugo Coelho