Asia-focused ILS vehicle exceeds $100m milestone as insurer signals further expansion.Since launching in 2021, Phoenix Re has grown steadily, supported by consistent investment performance and rising investor appetite for accessing Asia’s diverse catastrophe risks. The vehicle offers exposure to perils that are largely uncorrelated with peak zones, with diversification across APAC and MENA.
LONDON: MS Amlin, the Lloyd’s global specialist (re)insurer, has renewed its Phoenix Re catastrophe bond for the sixth consecutive year, increasing collateralised capacity to US$115m – the largest issuance to date.
The renewal of Phoenix Re 3 marks a $25m increase on 2025 and continues the expansion of MS Amlin’s Singapore-based catastrophe bond, which provides quota share support for the insurer’s Asia-Pacific reinsurance portfolio.
Since launching in 2021, Phoenix Re has grown steadily, supported by consistent investment performance and rising investor appetite for accessing Asia’s diverse catastrophe risks. The vehicle offers exposure to perils that are largely uncorrelated with peak zones, with diversification across APAC and MENA.
William Ho, CEO of MS Amlin Asia Pacific Pte Ltd, said: “Exceeding the $100m mark is the latest significant milestone for Phoenix Re and reflects both its strong performance and the increasing investor appetite for Asian catastrophe risks.
“Phoenix Re has responded to a series of regional natural catastrophes over the past year, including the Myanmar-Thailand earthquake, which has helped communities rebuild and reinforced confidence in the resilience of our strategy, modelling, and underwriting discipline.
“This year’s fundraise was the smoothest to date, reflecting the growing familiarity of investors with Asia and Phoenix Re’s consistent performance, which has seen it deliver average annualised returns of 9%.”
Tim Yip, Executive Director and Head of ILS Advisers, which acts as both structurer and cornerstone co-investor for the vehicle, said: “For the past six years, the Phoenix Re transactions have provided our portfolio with truly global, diversified exposure in a balanced and accretive manner – without relying on the public 144A cat market, where diversifying perils often fail to offer adequate compensation. The Phoenix portfolio grants access to around 20 diversifying regional perils through approximately 200 high-attaching, ‘cat bond-like’ reinsurance policies, all without clashing exposures within the portfolio. It integrates seamlessly, enabling us to avoid allocating capital to secondary perils or regions where return levels are simply not attractive.”
Looking ahead, Ho said MS Amlin is exploring plans to broaden its ILS offering in 2026 to cater to different investor risk appetites.
“We’re committed to supporting the continued development of the ILS market in Asia. Our ambition is to broaden our product offering across the risk spectrum. The market has expanded this year, and we expect that momentum to carry into 2026.”
However, he said that further growth would depend on strengthening regional capability.
Yip agreed, highlighting the need for more local managers, and stated that, “The best opportunities in this region typically remain local, and accessing them requires a strong on-the-ground presence.”
Phoenix was established with support from a Monetary Authority of Singapore (MAS) ILS grant, with its inaugural deal sized at US$42m. In 2024, MS Amlin became the first insurer to renew a catastrophe bond domiciled in Singapore.