Key Takeaways
- • UK insurer Utmost Life and Pensions has appointed Aberdeen Investments to manage a commercial real estate debt mandate supporting its growing bulk purchase annuity (BPA) business and broader pension risk transfer plans.
- • Aberdeen has completed the first transaction under the mandate, providing financing secured against a prime Grade A office asset in central London.
- • The appointment comes alongside Aberdeen's Strategic Insurance Group, which was earlier this year appointed by Flood Re to manage a £1bn credit mandate.
- • Utmost CIO Craig Baker says access to high-quality private market assets is an important component of the insurer's investment strategy as its BPA business grows.
Summary
UK insurer Utmost Life and Pensions has appointed Aberdeen Investments to manage a commercial real estate debt mandate, according to Aberdeen. The mandate is designed to support Utmost's expanding bulk purchase annuity business and wider pension risk transfer plans. Aberdeen, which manages £397.5bn in assets, said it has already completed the first transaction under the mandate, providing financing secured against a prime Grade A office asset in central London.
Craig Baker, chief investment officer at Utmost Life and Pensions, said that as the insurer continues to grow its BPA business, securing access to high-quality private market assets is an important component of its investment strategy. Trade coverage of the appointment describes the mandate as focused on sourcing and managing high-quality commercial real estate debt investments for Utmost.
The mandate follows the appointment of Aberdeen's Strategic Insurance Group, a dedicated global team serving insurers and reinsurers, by Flood Re, the UK government-backed flood reinsurance scheme, to manage a £1bn credit mandate earlier this year. Matthew Smith, global head of the Strategic Insurance Group at Aberdeen Investments, said Utmost has brought welcome competition and a differentiated approach to the UK BPA market. He added that Aberdeen would draw on its expertise in managing bespoke private credit mandates under the Solvency UK matching adjustment regime.
Craig Baker, chief investment officer at Utmost Life and Pensions, said that as the insurer continues to grow its BPA business, securing access to high-quality private market assets is an important component of its investment strategy. Trade coverage of the appointment describes the mandate as focused on sourcing and managing high-quality commercial real estate debt investments for Utmost.
The mandate follows the appointment of Aberdeen's Strategic Insurance Group, a dedicated global team serving insurers and reinsurers, by Flood Re, the UK government-backed flood reinsurance scheme, to manage a £1bn credit mandate earlier this year. Matthew Smith, global head of the Strategic Insurance Group at Aberdeen Investments, said Utmost has brought welcome competition and a differentiated approach to the UK BPA market. He added that Aberdeen would draw on its expertise in managing bespoke private credit mandates under the Solvency UK matching adjustment regime.
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