Portfolio

Turning Investment Rules into Laws: The Key to Avoiding Costly Exceptions and Improving Portfolio Performance

by

New York — The old adage “the exception that proves the rule” has often been cited, yet its usage typically leads to more confusion than clarity, especially in scenarios where strict rules should govern decisions. Originally, this phrase signified that the presence of an exception testing a rule actually confirmed its general validity. However, it has since morphed into a broadly misinterpreted justification for deviating from established guidelines. In the realm of investor behavior, this misinterpretation becomes particularly glaring. Even as the principles of smart investing have become better known, many an investor’s portfolio inadvertently … Read more

Unlocking Solutions: How Loss Portfolio Transfers Could Revolutionize Mass Tort Cases

by

NEW YORK (AP) — Loss portfolio transfers have emerged as a creative tool for organizations and insurers to manage large risk pools and resolve liabilities in a fair and efficient manner. These reinsurance contracts involve ceding legacy liabilities to a reinsurer, who assumes and accepts the current and future claim liabilities. In exchange, the ceding entity agrees to pay the reinsurer for the reserves. While loss portfolio transfers are not yet common in mass tort litigation, a growing number of insurers and self-insured defendants are exploring this option to address their liabilities. One example of … Read more