The “Life Settlement Index” discontinued

The “Life Settlement Index” discontinued

A few days ago trade papers reported that the “Life Settlement Index” has been discontinued by its founder AA Partners Ltd of St Gallen, Switzerland. The article included the following statements; “AA Partners has discontinued its index comparing the performance of life settlements with two other indexes after a study found that many fund managers inflate the value of the asset.….Hess said his firm thus concluded that the index contained funds whose net asset values were wrong and didn’t reflect actual performance.”

Continue Reading  
Tuesday 9th February 2016     Valuation, Index, Benchmarking, Life Settlements Index

Purchasing Policies in the Tertiary Life Insurance Market

Purchasing Policies in the Tertiary Life Insurance Market

The tertiary life insurance market is a very interesting animal. The skill sets required to navigate it successfully are a very diverse mix. This mix of skills also needs to be in the correct balance, because too much of some and too little of others will result in sub-optimal outcomes .

Continue Reading  
Wednesday 27th May 2015     Investing, Policies, Asset Management, Life Settlements

Investing in the Management & Construction of your Portfolio

Investing in the Management & Construction of your Portfolio

We review why some life settlements investment fail and some succeed. It requires both a deep understanding of life insurance and a disciplined fund management approach to acquisition and asset selection. In the asset selection process alone there is both a need in equal measure, for quantitative analysis as well as insightful asset due diligence.

Continue Reading  

Estimating Gross Market Return for Life Settlements: Are your calculations correct?

Estimating Gross Market Return for Life Settlements: Are your calculations correct?

The science around Medical underwriting continues to evolve in the dynamic environment of human longevity while the discussion around appropriate methodologies for uniform financial analysis is timely given the post GFC environment where lack of suitable robust analysis was the root of many a financial failure. You can have the finest underwriting and the best return analysis tools but unless you have the skills to select the best policies these will be wasted.

Continue Reading  
Wednesday 16th April 2014     Index, Life Insurance Policy, Life Settlements, ROI

To manage or not to manage? Tackle your life settlements investment

To manage or not to manage? Tackle your life settlements investment

Life Settlements Managers play a crucial role in the continual development and success of this unique asset class. Managers, who have successfully navigated the complexities of this market, manage efficient funds providing attractive uncorrelated returns for many investors. So why is it that some major institutions attempt to manage their life settlements investment in-house? The effect on your returns will clearly come down to many elements including regulatory and taxation impacts.

Continue Reading  
Monday 31st March 2014     Life Settlements, Investing, Self-Managed, In-House

Choosing a Fund Type: Impacting Return on Investment and Enhancing Marketability

Choosing a Fund Type: Impacting Return on Investment and Enhancing Marketability

Understanding the regulatory and taxation impact of your fund’s type and domicile for your life settlements investment, and the potential impact on your return on investment (ROI), can a be complex. In this post we will deal with setting up a structure appropriate for the client’s interests

Continue Reading  

A Strategic Investment: Choosing the right strategy

A Strategic Investment: Choosing the right strategy

Choosing the right life settlements investment strategy can be quite tricky for many institutional investors. Many an investor, new to the game, has unwittingly taken on risks disproportionate to their appetite or missed value opportunities, through simple lack of knowledge.

Continue Reading  

A Life Settlements Benchmark/Index: We are not there yet!

A Life Settlements Benchmark/Index: We are not there yet!

In all asset classes, both Investors and Managers alike, look where possible to have access to and industry wide benchmark/index to assess performance and compare themselves with their peers. Clearly this is a good thing when available. The trap for the uninformed or novice investor is to distinguish between true benchmarking and the marketing “Spin”.

Continue Reading  

Literature Review: Conning focuses new Life Settlements Opportunities

Literature Review: Conning focuses new Life Settlements Opportunities

The life settlements market is poised for a recovery, and along with it comes new opportunities for investing, according to a recent study, Conning has released its annual report on Life Settlements with reviews on the market opportunities and challenges for this alternative asset class. In its 2013 study, Conning recapped their 2012 report, stating that a healthy demand still exists but the market struggled to raise new capital in 2012. Although renewed interest surfaced in 2013, Berkshire Hathaway confirmed a purchase of a life settlement portfolio with $300 million in face value.

Continue Reading  

Investing in Life Settlements: Ethical Investments for Investors

Investing in Life Settlements: Ethical Investments for Investors

The recently published post, “Life settlements in Canada: Right or Wrong?” by Richard Proteauc, discusses the ethical and moral consideration for this asset class. The discussion on the ethical nature of investing in life settlements has been analyzed in previous literature along with the opportunities for both investors and consumers. The conclusion of many cases is that provided that there is full transparency with the product and processes between all parties there appears to be no ethical issues in investing in this asset class. Richard’s post was very intriguing and inspired us to examine some of the ethical objections raised in the article and review some others.

Continue Reading  

Displaying 1 - 10 of 14