Europe and the UK have seen an explosion of ILS and life settlement funds established in the past year. The unique regulatory requirements and governance for insurers are impacting how insurance companies operate and ultimately how capital markets are used. With the need to transfer risk always present, the insurance-linked securities industry has the potential for innovation to develop the solutions to survive any market cycle.
The Insurance Linked Securities European Summit will focus on the investors, presenting them front and center to share the latest in bond and derivative structures and helping you expand your business.
1. SAVE UP TO £300
Register by March 6th and
Insurance
Linked
Securities
SummitEurope
TM
April 28-30, 2009 London, United Kingdom
New Investment Strategies for Catastrophe
Bonds, Longevity Risk, and Life Settlements
Hear From Participating Benefits of Attending:
Organisations Such As: Debate the impact of the global financial crisis on
•
bond returns and issuance
Coventry Munich Re Capital
Markets
Credit Suisse Life Develop strategies for diversifying a portfolio of
•
Finance Group AA Partners NEW! longevity and catastrophe risks
Leadenhall Capital Brit Insurance
Discover the next frontier in insurance capital markets
•
Partners NEW! Aon Benfield
convergence and risk transfer finance
BlueCrest Capital AXA Investment
Management Keep up with market movements, changes in
•
Managers NEW!
NEW!
longevity tables, and movements toward a
Resscapital NEW!
Pension standardised bond market
Augur Capital
Corporation
NEW! Gather with the best and brightest in the Life and
•
Credit Suisse Asset
P&C insurance capital markets
Willis Group NEW!
Management
NEW! Standard & Poor
Sponsors:
Swiss Re SCOR
Solidium Partners Nephila Capital
Horizon 21
+44 (0)20 7368 9300 or UK Freephone: 0800 652 2363 • www.iqpc.com/uk/ILSEurope
2. Dear Colleague:
The past few month
s have been tumult
uous for the finance
combination of seve and insurance indus
ral factors have poise tries
d the ILS and life se
Reinsurance markets ttlements markets to , however a
are hardening, launc
cont
hing a new wave of
insurers’ capital adeq
issuances to fulfill inv inue growing.
ua
investments and turn cy requirements. At the same time, inv es
estors are shying aw tors’ appetite and
ing to ILS and life se
ay from traditional
ttlements as low-co
questions linger over rrelat
th
that have been hallm e impact of counterparty risk and longe ion diversification tools. Even while
arks of these industri vity estimates, the res
transfer and longevit es over the years ha ilience and innovation
s inspired a new era
y-linked investment
opportunity. of insurance risk
With these develop
ments in mind, Finan
ceIQ and IQPC are pr
global industry-lead
oud to present the
ing
group of some of th Insurance Linked Securities Summit. W Euro
e are proud to bring pean debut of the
e foremost experts
in this field from aro
und the world to pr together a diverse
and insightful view
of these growing ind ovide a comprehen
ustries and asset cla
securitsation, to life sive
sses. Spanning from
settlement securities life insurance
and synthetics, to na
one-of-a-kind event
tural catastrophe bo
will cover all facets
of the convergence nds and derivatives,
of insurance and th this
e capital markets.
There is only one pla
ce to go to get the
full view of the insur
to the capital marke an
ts to provide the inn
ovations and solution ce and reinsurance industries as they loo
marketplace. This is
s necessary to flour k
THE ILS event to atte ish in the 21st cent
nd. ury
I look forward to se
eing you there!
Sincerely,
P.S. Don’t miss out on
the interactive pre-
conf erence workshops!
Marie-Louise Adle
rcreutz
Divisional Director
, Finance IQ, A Divi
sion of IQPC
marielouise.adlercre
utz@iqpc.com
Tuesday,
Pre-Conference Workshops April 28, 2009
11:00 – 14:00 Registration at 10:45
A Managing a Portfolio of Longevity Risks
Longevity risk can provide an investment portfolio with diversification How to recognise and subsequently reconcile imbalances in your portfolio
•
benefits, but engineering the portfolio to be diversified in itself can be a Mechanics of a diversified portfolio of longevity risks
•
challenging task. Considerations must be made for the underwriting
What will be covered:
techniques, types of impairment, and even the prospect of changing • Addressing changes to the VBT tables: how do the 2008 VBT tables
longevity estimates. This interactive workshop led by longevity
impact portfolios constructed on 2001 VBT tables
underwriting experts will address the challenges to developing a • Customising portfolio goals to appropriate risk appetite levels
profitable and diversified portfolio. • Detail of the medical underwriting and longevity analysis processes
What you will learn:
Workshop Leader: TBA
• Understanding of the calculations used in longevity tables
14:00 – 17:00 Registration at 13:45
B Meteorology 101: How to Bet on the Weather
You have acknowledged the benefits and evaluated the risks of investing development in real-time and on seasonal timescales
in windstorm CAT bonds. Perhaps you have already developed a Methods for evaluating, measuring, and predicting storm strength
•
diversified portfolio of windstorm perils in different regions. The basics of Methods and new tools for monitoring ‘live’ windstorm risk, both pre-
•
finance are routine to you; but what do you know about the weather? and post-impact.
This interactive workshop will focus on extreme windstorm systems
What will be covered:
(hurricanes, typhoons and European windstorms). It will address the • The predictability of different kinds of storm systems
development, recent trends and predictability of these storms in real-time • Alternatives to the Saffir-Simpson hurricane scale and the advantages
and on seasonal timescales. It will describe the new methods and tools
and disadvantages of different storm scale metrics
available to assist you in tracking and predicting the impact of these • Methods for predicting insured losses and parametric triggers for US
storms on your investments, including the immediate post-event impact
hurricanes.
of storms. This information could provide you with a real edge and
perhaps even make you a maven CAT bond investor. Workshop Leaders:
David Simmons, Head, Research Publications, AON BENFIELD
What you will learn:
Prof. Mark Saunders, Lead Scientist, Tropical Storm Risk, UNIVERSITY
• Elements that determine hurricane, typhoon, and European windstorm
COLLEGE OF LONDON
+44 (0)20 7368 9300 or UK Freephone: 0800 652 2363 • www.iqpc.com/uk/ILSEurope
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3. Wednesday,
Main Conference Day 1 April 29th, 2009
Life Settlements, Life Insurance Securitisation and Longevity Risk
Chairperson’s Opening Remarks Networking Luncheon
8:45 12:30
Alan Buerger
sponsored by
CEO
COVENTRY Innovations in Synthetic Longevity Products
13:45
Detailing the synthetic longevity products currently on the market
•
Reviving the Life Insurance Securitization Market and
9:00 Assessing the benefits of investing in synthetic longevity
•
Looking into the Insurance Markets Appetite for Life products - a life settlement and longevity fund perspective
Settlement Risk Customising longevity-linked indices and structures to meet
•
Reviewing recently completed deals and providing a market outlook for life
•
investors’ demands
insurance securitization Outlining the symbiotic relationship between synthetics and
•
Identifying the risk and capacity of the insurance market to accept life
•
cash life settlement
settlement risk Ways of introducing longevity risk as an alternative asset class
•
Outlining the path to recovery: What conditions need to be met for issuers,
•
into ones investment portfolio
sponsors, and investors?
Addressing new regulatory reserve requirements and the impact these
•
Arthur Hatt
regulations will have on both life insurance securitization and life Vice President, Life Finance Group
settlements CREDIT SUISSE
Nicholas Millard Beat Hess
Executive Director Managing Partner
WILLIS GROUP AA PARTNERS
David Rawson-Mackenzie
Navigating the Cash Life Settlements Market
9:50
Managing Director
Comparing the benefits of funding a portfolio versus building your own
•
CENTURION FUND MANAGERS
Understanding the interests of intermediaries and the rules by which they
•
operate
Comparing Risk/ Reward between Pensions
14:30
Examining origination standards and the relative impact on portfolio pricing
•
Swaps and Life Settlements
Reviewing principles of valuation and pricing
•
Examining the comparability of risks carried by investments into
•
Brian Tijan pensions and life settlement
Director, Life Finance Group Comparing the two asset classes in terms of risk-return and horizon
•
CREDIT SUISSE
John Fitzpatrick
Partner
Dr. Heinz Kubli
PENSION CORPORATION
Managing Director
FUNDABILIS
Networking Break
15:15
Michael T. Crane
Breakout Session- Roundtable Discussions
Managing Director 15:45
COVENTRY Cash Life Settlements
•
Synthetic Life Settlements
•
Thomas Schmitt
A/XXX and EV Securitisations
•
Managing Partner Pension Buyouts
•
AUGUR CAPITAL
Examining the Regulatory Climate Surrounding
16:30
Networking Break
10:50 the US and International Life Settlements Market
and the Impact of Solvency II
Strategies for Policy Valuation and Managing the Changes
11:30 Discussing the convergence of international life settlement markets
•
in Life Expectancy Estimates Reviewing recent regulatory and legislative changes impacting
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Understanding what the shift in life expectancy estimates means for the
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US life settlements
life settlements industry Debating the insurance industry’s anti-consumerist approach to
•
Assessing the current value of policies held and determining values of new
•
life settlements
contracts
Understanding possible shifts in jurisdiction between federal
•
Understanding what longevity tables tell us and how the metrics are
•
and state bodies
calculated
Determining the impact of Solvency II on the capital reserves of
•
Establishing benchmarks for valuation and devising strategies to hedge
•
insurance companies and ILS issuance
against future volatility in life expectancy
Determining the link between medical underwriting and policy valuations
•
Networking Cocktail Reception
17:30
Robin Willi
sponsored by
Head of Life Settlements
BLUECREST CAPITAL MANAGEMENT
Russell Nel
Senior Investment Manager
RESSCAPITAL
About Our Sponsor:
Coventry For over 25 years, Coventry has been redefining insurance. Founded in 1982, Coventry began as an insurance
marketing, product development and policy administration firm. Known as a leading innovator in the industry, Coventry assisted
insurance carriers in the development of product, software and distribution. It established itself as one of the top corporate life
insurance companies in America during the 1990s, servicing over 70,000 policies for its corporate clients.
In 1998, Coventry created the secondary market for life insurance in the United States and coined the term “life settlement”. As the market leader, Coventry
has structured and financed transactions representing more than $25 billion of death benefit and has been a key driver behind the market’s rapid growth.
Today, Coventry is the largest purchaser and servicer in the longevity and mortality market, employing more than 200 people. Based in Pennsylvania, Coventry
was the first secondary market firm to earn Standard and Poor’s highest servicer ranking (2004 and reaffirmed in 2006). In 2005, Coventry was first in revenue
in the insurance category of the annual Inc. 500 listing of the fastest growing private companies in America. Website: www.coventry.com
+44 (0)20 7368 9300 or UK Freephone: 0800 652 2363 • www.iqpc.com/uk/ILSEurope
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4. Thursday,
Main Conference Day 2 April 30, 2009
Non-Life Insurance Risks
Chairperson’s Opening Remarks Due Diligence and Ratings Standards for the Next
8:45 13:45
Wave of CAT Bonds
Examining the Impact of the Global Financial
9:00 Due Diligence and Ratings Standards for the Next Wave of CAT Bonds
•
Crisis on ILS and the Reinsurance Industry Update on cat bond rating criteria
•
How has ILS fared during the recent economic turmoil Ensuring the quality of collateral assets
• •
Identifying opportunities created by the financial crisis Revealing the ratings process for new, non-TRS structures
• •
Where do the insurance capital markets go from here? What Discussing the impact of the rating scheme on the growth of
• •
kinds of structural trends do we expect? the ILS market
Jean-Louis Monnier Maren Josefs
Director, Insurance Linked Securities Associate Director of Rating Services
SWISS RE STANDARD & POOR
Urs Ramseier Augustin Gas
Head of Insurance Linked Securities CAT Modelling Manager
HORIZON 21 SCOR
Barney Schauble Managing a Portfolio of Insurance-Linked Securities
14:30
Partner Defining ideal trigger/peril combinations
•
NEPHILA CAPITAL Exploring the mechanics of risk measurement and
•
diversification techniques
The P&C Securitisation Market of Today and
10:00 Establishing a benchmark for risk in a portfolio and identifying
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Tomorrow areas for improvement
What have we learned since January renewals?
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Comparing the 2009 bond structures to those of the past Niklaus Hilti
•
Assessing the market’s ability to meet new investor demands Head of ILS
•
and adapt to a changing economic climate CREDIT SUISSE ASSET MANAGEMENT
Analysing returns and the growth of the market
•
Lixin Zeng
Luca Albertini Portfolio Manager of AlphaCat Fund
CEO VALIDUS MANAGERS LTD.
LEADENHALL CAPITAL PARTNERS
Dr. Andreas Müller
Karsten Bromann Head of Origination & Distribution, ILS Investment
Managing Partner and Chief Risk Officer MUNICH RE CAPITAL MARKETS
SOLIDIUM PARTNERS
Networking Break
15:15
Networking Break
10:50
Breakout Session- Roundtable Discussions
15:45
Innovations in Exchange Traded Products:
11:30 TRS Counterparties
•
Examining the Growth Potential of the ILW Bond/Contract Structure Standardisation
•
Market and Other Risk Trading Products Sidecars
•
Examining the effect of standardised documentation on the ILWs, ELFs, and other Exchange Traded Products
• •
growth of ILWs and ILS
Interactive Panel Discussion: Issuer’s and Investor’s
Detailing key elements of an ILW fund for institutional and 16:30
•
Perspectives on Bond Structure
retail investors
Identifying other instruments that stand to grow with a Detailing the demands of investors and issuers for taking and
• •
standardised exchange and transaction structure offloading risk
Exploring the structure and utility of ELFs, UNLs, and other Examining the new playing field of credit and counterparty risks
• •
exchange products
Toby Ducker
François Divet Executive Director
Portfolio Manager BRIT INSURANCE
AXA INVESTMENT MANAGERS
Beat Holliger
Managing Director
Networking Luncheon
12:30
MUNICH RE CAPITAL MARKETS
sponsored by
End of Conference
17:30
Media Partners:
About Our Sponsors:
Credit Suisse As one of the world’s leading banks, Credit Suisse provides its clients with investment banking, private banking and asset
management services worldwide. Credit Suisse offers advisory services, comprehensive solutions and innovative products to companies,
institutional clients and high-net-worth private clients globally, as well as retail clients in Switzerland. Credit Suisse is active in over 50
countries and employs approximately 48,000 people. Credit Suisse’s parent company, Credit Suisse Group, is a leading global financial
services company headquartered in Zurich. Credit Suisse Group’s registered shares (CSGN) are listed in Switzerland and, in the form of American Depository Shares (CS),
in New York. The Life Finance Group at Credit Suisse is a dedicated group of over 90 professionals with backgrounds in various industries which include insurance,
banking, structuring, sales and risk management based in New York, London and Hong Kong. Website: www.credit-suisse.com
Centurion Established in 1994 by David Rawson-Mackenzie, Centurion is a financial services company specialising in alternative investments
and providing tax structuring and advisory services to high net worth clients. Centurion Fund Managers, the fund management division of
Centurion, was established in 1999 and launched its first life settlement fund, Defined Return Fund, in 2002. Since then, Centurion has
launched two additional life settlement funds, Argent Fund and Life Settlement Strategy Fund, listed respectively on the Luxembourg Euro MTF
and the Channel Islands Stock Exchange. Today, with over $400m under management, Centurion’s longevity funds have consistently delivered stable returns to our
investors over the past 7 years. As pioneer in the longevity asset class, Centurion was the first fund manager to include longevity swaps in its investment portfolio.
Recognising the need to offer a more diversified portfolio of structured products with high yield and low correlation to market in its investment funds, Centurion is
rapidly expanding its offerings by moving into both the micro-longevity and macro-longevity spaces. Website: www.centurionfundmanagers.com
+44 (0)20 7368 9300 or UK Freephone: 0800 652 2363 • www.iqpc.com/uk/ILSEurope
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