Thu, Mar 5, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Taussig Capital launches Multi-Strat Re reinsurance platform

Wednesday, October 03, 2012

amb
Joe Taussig
Bailey McCann, Opalesque New York:

Zurich–based Taussig Capital is launching a new platform that will give hedge fund managers the opportunity to get into reinsurance. Recent entrants into this area include Daniel Einhorn’s Greenlight Re, and Jonathan Bloomer’s Scottish Re. Before them, Warren Buffet, Louis Bacon, and George Soros have each gone into the reinsurance business. According to Joe Taussig, CEO, Taussig Capital, for hedge fund managers who get into reinsurance, they can expect that their reinsurance company will outperform their funds, significantly increase AuM from sources they could not otherwise access, and secure permanent capital.

Reinsurance differs from insurance in that, rather than taking on the processes and costs of individual transactions, the reinsurance company focuses on the balance sheet, handling the transfer of blocks of risk. "You can’t have a small reinsurer," Taussig explains in an interview with Opalesque. However, for hedge fund managers, who are already familiar with how to handle risk, doing that and getting permanent capital as a return can make for a significant opportunity.

The pioneer managers in this area faced significant start-up hurdles in terms of raising the capital, understanding the business, significant compensation commitments and startup costs with no assurance of success, and nurturing the deal from start to finish. According to Taussig, "we have spent many more days on many more projects t......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. SkyBridge opens office in Palm Beach County[more]

    Where better for a southern location than South Florida? SkyBridge Capital, which is headquartered in New York, has opened an office in Palm Beach Gardens. Palm Beach Gardens is a "Signature City" in northern Palm Beach County, with a population of around 49,000.

  2. Outlook - Philippe Jordan predicts 'alternative beta' to displace hedge funds, Stan Druckenmiller says Europe, Japan stocks will outpace U.S.[more]

    Philippe Jordan predicts 'alternative beta' to displace hedge funds From Investordaily.com.au: The disappointing performance of hedge funds in recent years is a result of "too much money chasing too little alpha", argues Capital Fund Management. Speaking to InvestorDaily, CFM partner Phi

  3. Investing - As rig count falls, hedge funds pile into long crude futures, Parus tactically shifts long/short exposure ratios, Mario Draghi outflanking Kuroda as bearish euro bets surge, Prime Capital’s 500.com bet derailed after 41% drop[more]

    As rig count falls, hedge funds pile into long crude futures From 247wallst.com: In the week ended February 27, the total number of rigs drilling for oil in the United States came in at 986, compared with 1,019 in the prior week and 1,430 a year ago. Including 281 other rigs mostly drill

  4. Outlook - 5 reasons why 2015 is looking like a breakout year for alternative investments, Hedge fund manager Dan Loeb predicts disappointment for funds seeking energy distress[more]

    5 reasons why 2015 is looking like a breakout year for alternative investments From Forbes.com: …After a strong 2014, the public markets have been off to a choppy start in 2015. This year, savvy investors may be looking for alpha elsewhere. For many institutions and high-net-worth indivi

  5. Event-driven strategies lead hedge fund gains in February while CTA rally shows signs of fatigue[more]

    Komfie Manalo, Opalesque Asia: Hedge funds ended February on a good note (+0.8%), confirming the positive momentum witnessed since the start of the year, reported Lyxor Asset Management in its Weekly Briefing. As of the end of February, the Lyxor He