News Column

Conning--Alternative Capital in the Retirement Markets: A New Road Map to Follow?

July 4, 2014

By a News Reporter-Staff News Editor at Insurance Weekly News -- The life-annuity industry has been responding to the entrance of alternative capital in the form of investment firms acquiring annuity businesses over the past few years, according to a new study by Conning.

"We have seen the retirement industry reshaped by asset manager purchases of annuity players over the past few years," said Scott Hawkins, analyst at Conning. "As many traditional life insurers looked to exit annuity businesses following the financial crisis, these alternative capital players have been making big bets by acquiring those assets. In our research, we sought to understand whether these firms see something in the retirement market that others have missed, or whether perhaps they expect to benefit from structural differences between their model and traditional life insurers."

The Conning study, "The Retirement Market Attracts New Entrants: Alternative Capital Moves In," recaps and analyzes the market moves of the key alternative market players and their performance to date, and explores some possible strategies that may be driving this change. Further, the study provides profiles of the alternative capital players and their development to date.

"While it is early days yet for the alternative capital players, our analysis indicates some intriguing performance differences from traditional players," said Steve Webersen, director of research at Conning. "Insurers, other asset managers, and regulators have taken notice, and as they think about the competitive advantages that alternative capital may have in the market, they also must consider the strategies and timeframe of these players. Our analysis points to a number of factors, both long-term and short-term, that may affect the ability of alternative capital to progress further in entering the retirement market."

"The Retirement Market Attracts New Entrants: Alternative Capital Moves In" is available for purchase from Conning by calling (888) 707-1177 or by visiting the company's web site at

Keywords for this news article include: .

Our reports deliver fact-based news of research and discoveries from around the world. Copyright 2014, NewsRx LLC

For more stories on investments and markets, please see HispanicBusiness' Finance Channel

Source: Insurance Weekly News

Story Tools Facebook Linkedin Twitter RSS Feed Email Alerts & Newsletters