GAM Secures Renowned Cooperation Partner
Swiss asset manager GAM has secured a reinsurer as a partner for its range of funds.
Effective May 7, 2025, Swiss Re, through its subsidiary Swiss Re Insurance-Linked Investment Advisors Corporation (Sriliac), will serve as the co-investment manager for GAM’s Insurance-Linked Securities (ILS) fund range, including the GAM Star Cat Bond UCITS Fund, the two firms announced on Monday.
As of March 31, 2025, Swiss Re managed ILS assets worth approximately $5 billion, including funds, sidecars, and tailored structures. Starting May 7, Swiss Re will also manage GAM’s ILS funds, which had assets under management of around $3 billion as of March 31, 2025.
Collaboration Extends to ILS Innovation
As co-investment manager, Swiss Re will be responsible for investment and portfolio decisions, while GAM will oversee risk management and lead global distribution and product structuring, according to the press release. The two companies will also collaborate on ILS innovations.
Sriliac, a subsidiary of Swiss Re registered as an investment advisor with the U.S. Securities and Exchange Commission (SEC), will function as the co-investment manager for these funds.
«The ILS market set new records in 2024, and the strong returns from cat bonds have clearly demonstrated the attractiveness and diversification benefits of this asset class for investors. It is an exciting time for the industry, and we are seeing considerable interest from both cat bond issuers and investors,» said Mariagiovanna Guatteri, CEO and CIO of Sriliac.
Cat Bond Market Continues to Grow
Cat bonds, issued by insurance companies or reinsurers to provide financial protection against potential losses from natural catastrophes or other hazards, offer investors access to an asset class with returns that exhibit low correlation with other financial market investments.
The cat bond market is growing due to increasing demand for risk transfer, driven by economic developments, the concentration of insured assets in vulnerable regions, changing exposure patterns, and climate change.
