Conning and Ramius Alternative Solutions Announce Strategic Alliance
Jointly developing new customized alternative investment strategies for insurers
HARTFORD, CT and NEW YORK — April 29, 2013 – Conning, a leading global provider of asset management services for the insurance industry, and Ramius Alternative Solutions LLC (RASL), which develops and manages customized alternative investment portfolios, announced today that they have entered into a strategic alliance. The two firms are jointly developing a variety of alternative investment strategies to meet the specific needs of insurance companies.
Conning and RASL believe that certain strategies traditionally employed by hedge funds may enhance the risk-adjusted returns and diversification of institutional portfolios. Many insurers, however, have avoided direct investments in hedge funds due to concerns about high capital charges and high fees, as well as the lack of transparency and liquidity.
Conning and RASL are developing tailored strategies for insurers that utilize a variety of liquid instruments created in recent years — including exchange-traded funds and total return swaps — that are designed to produce returns that have low correlations to existing client portfolios. This unique approach provides exposure to sources of return traditionally available only to investors in hedge funds but with significantly lower fees and capital charges as well as greater transparency and liquidity.
“We are highly focused on identifying opportunities for our insurance company clients in non-traditional or alternative asset classes while developing customized solutions that address their unique constraints. We believe the investment strategies we are developing with RASL are truly innovative and will be of considerable value to insurers,” said Woody Bradford, President and Chief Executive Officer of Conning.
The two firms plan to leverage Conning’s expertise in insurance asset management and strategic asset allocation with RASL’s extensive experience in alternative asset strategies. Client strategies will be overseen by an investment committee consisting of senior professionals from both firms.
“Stuart and I are extremely excited about the opportunity to combine RASL’s expertise in developing customized alternative investment solutions with Conning’s deep understanding of the objectives and constraints of insurance company portfolios,” said Vikas Kapoor who, along with Stuart Davies, are Managing Directors and Co-Heads of RASL.
Conning (www.conning.com) is a leading investment management company for the global insurance industry, with almost $86 billion in assets under management as of March 31, 2013 through Conning, Inc., Conning Asset Management Limited, Cathay Conning Asset Management, and Goodwin Capital Advisers. The company’s unique combination of asset management, risk and capital management solutions and insurance research helps clients achieve their financial goals through customized business and investment strategies. Founded in 1912, Conning is focused on the future, providing clients with innovative solutions, leveraging its global capabilities, investment experience, and proprietary research. The company is headquartered in Hartford, Connecticut, with additional offices in Purchase, London, Cologne, and Hong Kong.
About Ramius LLC and Ramius Alternative Solutions LLC
Ramius, a global contemporary investment management firm with $8.9 billion in assets under management (as of April 1, 2013), offers a broad suite of investment products and solutions to institutional and private clients worldwide. Founded in 1994, the firm’s capabilities include value equity activism, event driven, credit, healthcare royalties, real estate direct lending, managed futures and hedge fund solutions. A significant portion of Cowen’s proprietary capital is managed by Ramius in strategies alongside our clients. Ramius Alternative Solutions LLC was formed in 1997 and offers a range of customized hedge fund investment and advisory solutions, including customized and commingled fund of funds, portfolio completion, portfolio hedging, and hedge fund replication services to a global institutional client base.
Conning Media Contacts:
+1 860-299-2278 (direct dial)
Stanton Public Relations & Marketing
RASL Media Contacts:
Dan Gagnier and Carissa Ramirez
Sard Verbinnen & Co