RenaissanceRe third-party capital AUM now $7.17bn. Medici cat bond fund passes $2bn

Third-party investor capital under management in reinsurance joint-ventures and insurance-linked securities (ILS) funds managed by RenaissanceRe’s Capital Partners division has now eclipsed the $7 billion mark, to reach $7.17 billion at the end of the first-quarter, while the managers cat bond fund surpassed $2 billion for the first time.

Over the last twelve-months, RenaissanceRe’s Capital Partners division grew its third-party investor assets under management (AUM) by roughly $580 million, or 9%.

Over the last quarter of record, through Q1 2024, RenaissanceRe (RenRe) partner capital increased by $220 million.

It’s the first time, for a quarter’s end, that RenRe’s third-party partner capital AUM has surpassed the $7 billion milestone, having sat at just below the figure after the January 1st reinsurance renewals.

Over the first-quarter of 2024, RenRe has grown the third-party assets of a number of its reinsurance investment strategies, most notably the DaVinci equity-backed reinsurer that operates as a kind of sidecar vehicle.

But, looking back over a 12-month horizon, the strongest year-on-year growth came through RenRe’s Medici catastrophe bond fund, which added almost half a billion in third-party capital in the last year.

As a result, the Medici cat bond fund now counts an end-of-quarter record of $1.78 billion in third-party capital, while including RenRe’s own investment stake in the fund, the overall Medici fund AUM has now surpassed $2 billion for the first-time ever.

The DaVinciRe reinsurance joint-venture now counts $3.61 billion in total assets (including RenRe’s stake), Vermeer Re is at $1.43 billion, the Fontana casualty and specialty lines strategy is at $610 million and the main Upsilon diversified fund is now at $520 million.

On top of this, RenRe’s Capital Partners team also looks after a number of managed and segregated accounts on behalf of investors, which accounts for the remainder.

Total third-party investor and RenRe’s capital in the Capital Partners’ ILS funds and reinsurance joint-ventures has now reached a new high at $8.46 billion as of March 31st, up by $270 million in the quarter and $660 million over the last 12-months.

With now $7.17 billion in third-party capital across its range of joint-venture reinsurers and ILS funds, RenaissanceRe remains one of the largest managers of assets in the ILS market.

As we reported recently, the fee income earned by this business soared 87% in the quarter and the company added almost $566 million of third-party capital in the first-quarter of 2024.

View information on many dedicated ILS fund managers, as well as reinsurers offering ILS style investment opportunities, such as RenaissanceRe, in our Insurance-Linked Securities Investment Managers & Funds Directory.