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What are Insurance-Linked Securities?

Insurance-Linked Securities (ILS) are located at the crossroads of the capital and insurance markets. Their return depends on the occurrence of a specific insurance event, which can be either related to non-life risks such as catastrophe bonds or life risk, for example extreme mortality bonds.

Why consider Insurance-Linked Securities?

ILS are available both in cash and synthetic format and aim to offer a powerful tool of risk diversification with reduced dependence on economic factors and a generally low correlation with other assets.

Our approach to Insurance-Linked Securities

Informed by our long history of pricing reinsurance contracts, we take a three pillar approach to investing in insurance-linked securities. The first pillar is a qualitative analysis of the instrument, the second involves quantitative analysis and risk modelling and the third comprises sophisticated pricing models.


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This page is for informational purposes only and does not constitute on the part of AXA Investment Managers or its affiliated companies an offer to buy or sell any investments, products or services and should not be considered as a solicitation or as investment, legal or tax advice. The strategies discussed herein may not be available in all jurisdictions and/or to certain types of investors. Opinions, estimates and forecasts herein are subjective and subject to change without notice. There is no guarantee forecasts made will come to pass. No guarantee, warranty, or representation is given as to the accuracy or completeness of this material. Reliance upon information in this material is at the sole discretion of the reader. This material does not contain sufficient information to support an investment decision.