Insurance Company Investment Strategies
Effective management of an insurance company’s investment function is a vital component of its operations and a key determinant of its profitability. Our lawyers have extensive experience advising our clients on a broad range of issues relating to insurance company investments. Members of our group routinely assist our clients in navigating the complicated insurance company invested asset regulatory regime, as well as advising clients with respect to related risk-based capital, valuation reserve, rating agency, statutory accounting considerations and holding company systems act and affiliation issues. We also have extensive experience in structuring various forms of insurance company investments on behalf of our clients, such as the structuring and use of derivatives, structured products and other strategies for reducing/mitigating/hedging investment-related exposures and/or enhancing yield and managing short-term cash positions, including the use of, income generation and replication transactions and internal financing strategies. We have represented insurance companies with respect to investments in direct private placements, limited partnerships, private equity and hedge funds, joint ventures and start-up companies, real estate, securitized financial assets and insurance risk, public and private debt and “repackaged” investments. In addition, we routinely advise our insurance industry clients on the creation and management of various investment vehicle structures such as investment subsidiaries, investment pools, investment funds, structured investment vehicles (SIVs) and credit derivative product companies (CDPCs).