Market insight

• Insurance Solutions: Four Themes Emerging in Life Insurers' Asset Allocations

  Life insurers are continuing to move toward less liquid securities—which provide the potential for yield enhancement—while simultaneously de-risking from a credit perspective.

  

• Bridging the Gap: Opportunities in Short-Term Loans to Address Long-Term Affordability

  Amid rising costs and competition, owners and developers seeking to establish affordability in the multifamily apartment space are turning to short-term bridge loans to secure financing, ensuring sustainability during the process of obtaining government-sponsored housing credits

  

• Private credit: The Growing Opportunity in Private Placements

  Private placements have become an established source of funding for borrowers. Given the potential for incremental returns, diversification, and downside protection, investors are increasingly turning to this asset class too.

  

• Income strips for insurers - a natural fit?

  Given their high quality and inflation-linked nature, income strips have always been a popular asset class with insurers but current market dynamics make the opportunity particularly attractive, in our view.

  

• Alternative opportunities: What's the outlook for private market assets?

  Alternative Opportunities is a quarterly report from Invesco focusing on the outlook for private credit, private equity, real estate, infrastructure and commodities.

  

• Rethinking strategic asset allocation in light of higher inflation

  Investors may benefit from revisiting their asset allocations and exploring the risk-reward tradeoffs associated with higher inflation.

  

• Martello Re: Building a Reinsurer from the Ground Up

  This Barings podcast episode with a Bermuda-based reinsurer discusses how trusted partnerships have been the key to tackling challenges ranging from investment returns to hiring and beyond.

  

• Voluntary Carbon Markets: Don't let the nuance be lost in the noise

  The integrity of some of the world's Voluntary Carbon Market (VCM) schemes is a hot-button issue. Read the latest update from Federated Hermes' UK Nature Impact team to understand why it's important not to let the nuance get lost in the noise.

  

• Alternatives: The importance of diversification in today's market

  While the changing investment environment is presenting new challenges, alternatives remain important for insurers seeking enhanced income, returns and diversification.

  

• Private Credit's 'Free Lunch' for Insurers

  Private assets don't trigger any additional capital charges above what regulators require of equivalent public assets in insurer portfolios. That makes private credit's illiquidity premium the investment equivalent of a "free lunch."