The Avalon Re Story

Jul 2010

Attentive observers of the Solidum Event Linked Securities Fund will have noticed that the SAC Fund 2 was able to outperform significantly the market during the first half of 2010. The reason for the brilliant performance was a consequence of Solidum Partners’ activities in the workout process of a distressed catastrophe bond, Avalon Re. The story of this bond can serve as a lucid example of how Solidum Partners’ profound knowledge about the reinsurance market place and its functioning enables the team to generate profits for the investors in the Fund that clearly outperform the already good risk adjusted returns of the ILS asset class as such.