This information does not constitute the offer to sell or a solicitation of an offer to purchase any investment or investment product. Any such offer will be made only pursuant to an offering memorandum and the documents relating thereto describing such securities (the “Offering Documents”) and to which prospective investors are referred. In the case of any inconsistency between the description of terms in this material and the Offering Documents, the Offering Documents will control. Please see the applicable Offering Documents for additional information on the risks associated with an investment. This information is not intended to be used as the primary basis for investment decisions, nor should it be construed as advice designed to meet the particular needs of an individual investor. Any person subscribing to an investment must be able to bear the risks involved and must meet the suitability requirements relating to such investments. Some or all alternative investment programs may not be suitable for certain investors. Any offer will be made only to qualified investors only in jurisdictions where such offer complies with applicable law.
An investment in a portfolio is speculative and involves a high degree of risk. All performance results include reinvestment of capital gains, dividends, and interest. Past performance should not be taken as an indication or guarantee of future performance, and no representation or warranty is made regarding future performance. The performance of positions in the portfolios contemplated by this material may vary, potentially materially, from the performance of the same or similar positions in other portfolios presented due to differences in management fees, economic conditions, and other factors. Perceived mispricing, even if correctly identified, may not be corrected by the market, at least within a timeframe over which it is feasible for the portfolio to maintain a position. Furthermore, third party marks are not available for a significant portion of the portfolio’s assets including collateralized reinsurance investments (“CRI”). As such, these harder to value assets are expected to be valued at fair value in consultation with a third-party valuation consultant. The valuation may be based in part on inputs provided by the portfolio management team, and there may be uncertainty around the value of these positions, particularly in connection with a loss event. It should be noted though that Elementum retains ultimate responsibility for valuation. The portfolio’s management fees, performance fees and expenses may offset its trading profits. An investor should not invest in a portfolio unless it is prepared to lose all or a substantial portion of its investment. The portfolio may employ leverage, which, among other investment techniques, can make investment performance volatile and lead to higher risk. Investments in illiquid securities or other illiquid assets and the use of short sales, options, leverage, futures, swaps and other derivative instruments may create special risks and substantially increase the impact of adverse price movements. Opportunities for redemptions and transferability of interests in the portfolio are restricted so investors may not have access to their capital if and when it is needed. There is no secondary market for an investor’s interest in a portfolio and none is expected to develop.
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The data used to prepare this information which attributes Elementum as the source was derived from publicly available sources and Elementum’s direct experience. No representation is made with respect to the accuracy or completeness of such data. Elementum does not assume any responsibility for any information received from, or created by, third parties, including the performance data of indices and benchmarks.
The information provided does not constitute investment, tax, legal or accounting advice. You and your advisor(s) should consider any legal, tax and accounting matters relevant to any investments discussed herein or arising there from.
The information provided regarding awards is for informational purposes only and should not be considered an endorsement of Elementum or indicative of any investor’s experience with Elementum or Elementum’s future performance. Elementum investors did not comprise a significant portion of the judging panel for the referenced awards, however, Morton Lane, who was a member of Elementum’s prior advisory board, which is no longer active, served on the panel for multiple awards:
The entry criteria for the “Young Meteor” award provide that the candidate is an individual aged 35 or younger at the end of the calendar year prior to the award and working in the convergence sector. The winner would have already made a significant contribution to the sector and be nominated or supported by their departmental manager. We note that Michael France received his award while employed by Stark Investments.
The entry criteria for “Investor of the Year” provide that candidates will be institutions, individuals or investment teams that have made an outstanding contribution to the development of the ILS investor community in the previous year. The winner will have demonstrated either a continued, deep commitment to the ILS sector, success in attracting new investors to the sector through a fund, an innovative or pioneering approach or the commitment to research and understand the sector.
The “Outstanding Contributor of the Year” recognizes an individual who has made an outstanding contribution to the sector in the past year and consistently aided its development from an early stage. Judges were also looking for someone who developed new products and original solutions to deploy capital and meet investor appetite for insurance-linked risk. Special acknowledgement may be given to those who have also shown a genuine interest in sharing knowledge and understanding of the market and its potential with prospective participants.
The entry criteria for “Initiative of the Year” provide that candidates will be from any sector within the convergence market whose specific initiative has significantly aided its development. The winner of this broad category will be a corporation or a team whose specific innovation has made an outstanding contribution to improving the way that (re) insurance risk is transferred in the past year.
The entry criteria for “Manager of the Year” provide that candidates will be institutions, individuals or investment teams that have made an outstanding contribution to the development of the ILS investor community in the previous year. The winner will have demonstrated a continued, deep commitment to the ILS sector alongside strong financial results, success in attracting new investors to the sector and an innovative or pioneering approach in sourcing risk.
The entry criteria for the “Young ILS Professional of the Year” award provide that the candidate will be an individual aged 35 or under at the end of the calendar year prior to the award and working in the convergence sector in a non-underwriting role (such as broking/trading, in investor relations or other service functions). Although young, the winner would already have made a significant contribution to the sector, clearly demonstrating a solid contribution to the future of the convergence market. Candidates must be nominated, or supported by, their departmental manager. This award is sponsored by Horseshoe, with whom Elementum has an ongoing business relationship, and Andre Perez, Founder and former Chairman of Horseshoe, served on the judging panel.
The entry criteria for the Hedgeweek US “Best Insurance-Linked Strategies Hedge Fund” award provide that the fund be listed to Bloomberg’s Hedge Fund Database. A pre-selected shortlist is created based on data provided by Bloomberg, analyzing annualized performance over a 12-month period from May 1 2019 to April 30 2020 for North America-based hedge funds with minimum assets under management of $100 million. Voting for the eventual winners is then conducted via an exhaustive online poll of the Hedgeweek readership carried out over a period of several weeks.