Farsight Partners agrees $1bn life & health insurance investment partnership with AB CarVal

Farsight Partners, a specialist UK-based boutique advisory with a focus on life insurance-linked investment opportunities, has agreed a partnership with global alternative investment manager AB CarVal with up to $1 billion of life and health insurance related transactions in scope.

Farsight Partners has specialist experience in the life insurance-linked securities (ILS) space and a team with expertise gained at established ILS managers, while AB CarVal is part of AllianceBernstein’s Private Alternatives business.

Under the agreement, signed with funds managed by AB CarVal, Farsight Partners will source and advise on up to $1 billion of transactions, primarily across Europe and the United States, giving exposure to specialty finance transactions linked to primarily life and health insurance outcomes.

Paul Whiting, founder and CEO of Farsight Partners, commented, “The sophisticated team at AB CarVal understands our strategy and provide complementary expertise. We look forward to working with them in developing innovative transactions with insurance counterparties.”

Robert Sinclair, managing director with AB CarVal, added, “Insurance-linked financing is a natural extension and complement to our established alternative credit platform and asset-based finance strategies, offering familiar structures with a diversifying source of risk.

“We are pleased to be working with Farsight Partners whose experience and knowledge in sourcing, underwriting and managing these assets is a key differentiator in this market.”

Farsight Partners is a specialist in sourcing, managing and advising on novel, complex, and time critical insurance and financing solutions, working in partnership with a range of counterparties, especially smaller and new businesses.

With up to $1 billion of firepower available this is a meaningful mandate in the life insurance-linked investments space.

We understand Farsight Partners will now work to originate appropriate opportunities for the strategy that could include life insurance financing, but also life ILS type transactions with exposure to mortality, longevity, lapse and other typical life reinsurance risks. While the investor will ultimately make the decisions on deals to deploy capital to, based on Farsight Partners’ advice.