Third Point launches Malibu Life Re

Third Point, a New York-based alternative asset manager, announced the launch of Malibu Life Reinsurance SPC, a licensed life and annuity reinsurer based in the Cayman Islands.

Malibu Life Re will focus on providing asset-intensive reinsurance solutions and has entered into a treaty with a leading US annuity provider to reinsure $3 billion of annuity products in a quota share flow agreement. Third Point will provide investment management and strategic services to Malibu Life Re. Investment management includes Third Point’s ability to source excess spread across the full spectrum of credit asset classes and the firm’s portfolio management capabilities, which will be leveraged to construct capital efficient and diversified portfolios comprised of both in-house and other best-in-class asset manager strategies. Strategic services include corporate development, risk management and asset liability management, where Third Point will employ its analytics to develop bespoke, liability-driven investment programs. Malibu Life Re intends to scale through select partnerships with insurers providing flow and/or block reinsurance.

“We are excited to form Malibu Life Re to provide attractive capital solutions in the life and annuity space in partnership with leading insurers. We expect that the nimble, multi-asset class investment strategy we have designed over almost thirty years can be leveraged to deliver favorable long-term risk adjusted returns for Malibu Life Re’s clients and partners.” – Third Point Founder and CEO, Daniel S. Loeb.