Post on 01-Dec-2021
Sukh RandhawaSenior Investment Officer
A collaborative effort between the Department
of Insurance, insurance companies, affordable
housing agencies, economic development
organizations and community advocates.
Established in 1996, this voluntary program
facilitates insurance industry investments that
benefit California’s environment and its low-to
moderate income and rural communities.
COIN Team
Sukh Randhawa, Senior Investment Officer
Mr. Randhawa joined COIN in 2008. His career began in the finance industry at Wells Fargo. He later moved to State Street Corporation
where he occupied supervisory roles in operations and fund accounting. At COIN, Mr. Randhawa is responsible for the policy formulation and
administration of the COIN Program’s mission. Mr. Randhawa applies his quantitative background to analyzing insurers’ investment across
the fixed income, cash-equivalent, real estate, and private equity sectors. He also researches and compiles data, analyzes and evaluates risks,
and reports findings and recommendations to CDI Executive Management, insurers, and nonprofit and for-profit organizations in support of
CDI and COIN’s mission, vision, and strategic objectives.
Vic Chima, Investment Officer
Mr. Chima joined COIN in 2014. Since joining COIN, he has worked on CDFI certifications and renewals, high impact investment bulletins,
and allocating COIN CDFI Tax Credits. Prior to joining COIN, he worked as an Investment Officer at CalPERS managing the daily
reconciliation/forecasting of cash balances for Fixed Income and Global Equity portfolios. He also worked as a Trading Liaison at State Street
Bank where he ensured compliance and accurate accounting of trade related activity, dividends, interest, settlement, and corporate action
events. Mr. Chima holds a Bachelor of Science degree in Business Administration from California State University, Sacramento.
Peter Streit, Investment Officer
Mr. Streit joined COIN in 2016. Previously, Mr. Streit was a Senior Equity Research Analyst for Nuveen Investments' affiliate, Santa Barbara
Asset Management, where he covered the insurance and overall financial services industries. Prior to working in the asset management
industry, Mr. Streit was Senior Equity Research Analyst at investment banking firm Williams Capital Group in New York City covering the
insurance industry. Mr. Streit also previously worked in the equity research departments at investment banks, UBS and Dean Witter, where he
covered the insurance industry. He holds a bachelor’s of science degree in finance with concentrations in investments and mathematics from
the University of Illinois at Urbana/Champaign. Mr. Streit was an active volunteer member of the CFA Society Los Angeles, where he sat on
both the Alternative Investments and Career Development Committees, and was the 2018-2019 James Fletcher Leadership Award recipient.
Anna Gragg, Investment Officer
Ms. Gragg joined COIN in 2006 after acquiring a strong background in project finance and loan assessment at the state level. Prior to COIN,
Ms. Gragg was involved in Project Management at CALTRANS. At the Department of Housing and Community Development she assessed
loan portfolios for affordable housing and at the Office of Statewide Health Planning and Development she served as a Health Facilities
Construction Loan Financing Specialist. Ms. Gragg is a graduate of the Business Administration Program at California State University,
Sacramento, where she also received a Master of Public Policy and Administration.
3
COIN partners with organizations to source
and structure investments that promote
social, economic, and environmental benefits
in the State of California.
COIN solicits these investments to the
insurance industry to raise capital into these
socially responsible projects.
Advise Commissioner and COIN on the best
methods to increase the level of insurance
industry participation with and capital into the
program.
Facilitate contacts among executives at insurance
companies and asset managers, impact
investment managers, and community
development financial institutions.
Guide COIN in generating investment ideas and
strategies that are attractive to insurer investors and
provide social or environmental benefits, especially
affordable housing and green investments.
COIN Qualified Investments are financially
sound and provide positive social impact and
environmental benefits to the State of
California.
Investments are COIN-qualified according to
the criteria established by California Insurance
Code 926.1, and do not depend on the source
of the investment, whether from COIN directly
or initiated by the insurer or asset manager.
Examples include:
Social Benefit:
Affordable Housing
Community Facilities
◦ Health Care
◦ Social Services
◦ Education
Economic Development
◦ Job Creation
Environmental Benefit
Renewable Energy
◦ Solar Energy
◦ Wind Power
Water Efficiency
Transit-Oriented Development
Focus on High Impact Investments◦ These are investments that are responsive to
community needs and have a high degree of
positive impact on the environment and economic
welfare of low-to-moderate income individuals,
families or communities in urban or rural areas.
◦ Sectors:
Affordable housing projects
Green Investments
Is an online portal that links those seeking capital for socially responsible investments with insurers looking to make COIN qualified investments.
Organizations that are looking for capital can submit their application on the Marketplace to be approved as a COIN Investment Bulletin.
Investment contacts at Insurance Companies can create user accounts to view approved Opportunity Bulletins.
COIN maintains an open window for the
Investment Bulletin application process, with
applications to be continuously received year
round on the Impact Investment Marketplace.
COIN Staff Analysis - Three Guiding Principals:
Provide either proven social impact to low-to-moderate income people or communities and/or environmental benefit in California.
Provide financially sound returns for their respective asset class.
Investments must have some percentage of its total capital focused in California.◦ We prioritize applications that have more than 50%
or $100 million in California.
Those investment proposals which meet the
guiding principals for a COIN Investment
Bulletin will be made available on the
Marketplace and communicated to all
insurance companies doing business in
California and asset managers for these
insurers.
COIN communicates and visits with insurer and
asset manager contacts throughout the United
States who held in aggregate $7 trillion of
investible assets at year-end 2019.• Distribution list of over 800 contacts at over 300
insurers and asset managers.
• In-person meetings, conference calls with top
insurers and asset managers throughout the United
States.
• Target marketing based on asset class, investment
duration, geographic region, benefit type, or other
desired characteristic.
Insurance companies that are admitted to do business in California and write in excess of $100 million in direct written premiums are required to report their social and environmental impact investments to the department through the Community Investment Survey (CIS) Data Call.
The next Data Call will be due on COIN on July 1, 2021. The high level metrics will include type of investment, total amount invested and the sector in which it benefits.
Total COIN qualified Investments◦ 2015 - $22 Billion
◦ 2012 - $9 Billion
High Impact Investments◦ 2015 – $6 Billion
◦ 2012 - $2 Billion
Green Investments◦ 2015 -$8 Billion
◦ 2012 - $2 Billion
Historically, COIN set a goal for insurance companies to invest 1% of their CA premiums. ◦ Not an accurate represent what should be invested, since
we are comparing total investments to one year of premiums collected.
A potential goal, insurance companies hold 1% of their invested assets into COIN Qualified Investments. Here are some other factors to consider after the 2021 CIS Data Call.◦ Total premiums collect in CA vs the US?
◦ Average percent of insurance companies portfolio invested in CA?
◦ Different benchmarks for CA domiciled insurance companies.
Organizations that are approved as COIN Bulletins are subject to report detailed metrics through the Impact Investment Marketplace –Investment Metrics Survey. These metrics will be collected annually.
Metrics include, but not limited to:
◦ Any Insurer Investors Dollar Amount and date invested
◦ Affordable Housing Rental or Ownership
◦ Jobs created Full Time or Temporary
◦ Number of Small Business loans Women owned
Minority owned
Veteran owned
◦ Number of Community Facilities financed Child care
Healthcare
Human social services.
◦ Renewable Energy Projects Amount of energy produced