GAM Investments has today (7 April) announced a strategic partnership with Swiss Re in a drive to expand its presence in the insurance-linked securities (ILS) and catastrophe bonds markets.
The firm will take responsibility for managing GAM’s ILS fund range from 7 May, while GAM will be in charge of risk management, distribution, and product structuring.
GAM said the asset class offers diversification and resilience against macro headwinds, so hopes Swiss Re’s expertise helps it expand its offering in the area.
The firm hired Rom Aviv as its head of ILS to oversee GAM’s new partnership. He said: “The resilience of Cat Bonds in the face of market volatility, delivering attractive, diversifying returns above the risk-free rate, has been reinforced by 25 years of empirical evidence.
“GAM and Swiss Re have been key pioneers in scaling and evolving this asset class for over two decades, with this partnership bringing together investment management expertise, underwriting capabilities, and a state-of-the-art client infrastructure to ensure investors access truly compatible and tailored solutions.”