Third Point Re, the Bermuda-based property and casualty reinsurance firm, has said deteriorating market conditions in the reinsurance market have prompted it to limit the size of its catastrophe investment fund.
Third Point Re operates the Third Point Reinsurance Opportunities Fund, which invests predominantly in catastrophe reinsurance linked investments. As of the end of the first quarter, the fund’s size stood at $106.7 million. It has now said it will limit new investments in the fund to protect the returns of its existing investors.
John Berger, the CEO of Third Point Re, made the comments in the firm’s recent earnings call. “We will limit the size of the fund to ensure we target appropriate returns for our investors,” he said.