Nephila prepares to launch Lloyd’s Syndicate 2357

The Lloyd's Council has agreed in principle to Nephila Capital’s plan to form a new syndicate.

Nephila is an institutional asset manager that invests in natural catastrophe and weather risk. Nephila's Syndicate 2357 at Lloyd's, which is backed by funds managed by Nephila, has been trading since 2013.

Nephila Syndicate Management (NSM) plans to launch Syndicate 2358 in Q4 2020 as part of the Future at Lloyd's initiative. Syndicate 2358 will write a diversified portfolio of Lloyd's specialty risks to create a complementary source of returns for institutional ILS investors looking to broaden their exposure into specialty lines.

Syndicate 2358 will seek to partner with leading underwriters in targeted classes of business. NSM will manage the portfolio and seeks to generate an attractive risk adjusted return for its investors over time.

Adam Beatty, chief executive of NSM, said: "We see an opportunity to build a high-quality investment proposition for ILS investors and to do it using the unique and attractive features of the Lloyd's market."

Frank Majors, co-founder and co-chief executive of Nephila Capital, described Lloyd's as “an important part of Nephila's strategy,” adding: “We are delighted to support the Lloyd's market further with an innovative new business that can contribute to the Future at Lloyd's vision."

Lloyd's chief executive John Neal, said: "Nephila's new syndicate represents an exciting step forward in our Future at Lloyd's ambition, with a route for ILS capital to be more quickly matched with risk.”