7th Insurance Linked Securities Summit

Non-Life Track• Sponsor perspectives on the role of

ILS within a comprehensive riskmanagement strategy

• Investor perspectives on theimplications of conflicting catastrophemodels

• Fund manager perspectives on ILSportfolio construction & optimization

• Academic perspectives onuncertainties in climate models

• New trigger structures, tradingtechnologies, collateraltechniques, and fund-raisingstrategies

Life Track• Attracting new capital sources by fusing

longevity with alternative assetclasses

• Regulatory perspectives from the stateand federal level

• The role of longevity swaps in riskmanagement strategies for pension funds

• Cutting-edge biotech perspectives onfuture longevity trends

• Hedging tools & fund-raisingstrategies for life settlement funds

• The role of securitization in the futureof the asset class

Brand New Content for 2010!

January 27 – 29, 2010 New York City

7th

1-800-882-8684 • www.ilsnewyork.com

Jean-LucBesson, ChiefRisk Officer,SCOR

Dr. KerryEmanuel,Professor ofAtmosphericScience, MIT

Amer Ahmed,Chief Risk Officer,Allianz

Martin Bisping,Head of Non-LifeRiskTransformation,Swiss Re

CommissionerGennett Purcell,DC InsuranceDepartment

CommissionerPauletter Thabault,Vermont InsuranceDepartment

Increasing Issuance, Enhancing Transparency &Expanding the Investor Base for: Cat Bonds, InsuranceLinked Securities & Longevity-Based Investments

60+ industry leading speakers, including the following ILS leaders,investors, and visionaries:

John Seo,ManagingPrincipal, FermatCapital

Elaine CaprioBrady, VP, CededReinsuranceOperations,Liberty Mutual

Insurance Linked Securities

Summit TM

Register by 12/4 andSAVE up to $800!

Sponsors Media Partners

Luca Albertini, CEO,Leadenhall CapitalPartners

Dr. Kenneth Froot,André R. JakurskiProfessor of Business Administration, Harvard Business School

• Dedicated conference tracks for thelife and non-life sides of the ILSfence, allowing you to maximize yourlearning opportunities throughout the3-day event

• Extended workshops and masterclasses on fund-raising, capitalformation, and new approaches to riskmanagement

• More than 20 hours of extendednetworking opportunities, ensuringyou walk away with valuable newcontacts from the industry

The world’s only ILSconference delivering:

John Seo,Managing PrincipalFermat Capital

David Rawson-MackenzieFund DirectorCenturion Fund Managers

Mike FasanoPresidentFasano Associates

Morton LanePrincipalLane Financial LLC

Luca AlbertiniCEOLeadenhall Capital Partners

Alex KrutovManaging DirectorCentury Atlantic Capital

Michael StahelHead of ILSClariden Leu

Karsten BromannManaging Partner & CROSolidum Partners

Michael FreedmanSVP, Governmental AffairsCoventry

A Special ThankYou to OurIndustry-LeadingAdvisory Board

■ 5% Pension Funds & InstitutionalInvestors

■ 36% Asset managers and hedge funds

■ 21% Insurance & ReinsuranceCompanies

■ 12% Banks

■ 8% Law Firms

■ 10% Life Settlement Companies

■ 4% LE Providers

■ 4% Modeling Agencies

Who Will Attend:

1-800-882-8684 • www.ilsnewyork.com 2

(on the non-life side)…following a brief hiatus in the global ILSmarket after the collapse of Lehman Brothersin September 2008, the market hasrebounded in 2009 with (at time of writing)over $2 billion in new catastrophe bondsissued and another $1 billion expected beforethe end of the year. The market hasresponded vigorously to the collateralchallenges exposed by the Lehmans debacle,with triparty repo structures andgovernment-guaranteed solutions findingtheir way into recent issuances.

With a long-term solution to the collateralproblem apparently (but not definitely) insight, industry participants are now focusedon growing the ILS market in 2010.Improving transparency, securitizing newrisks, increasing new issuance andexpanding the investor base are the majorchallenges currently facing the industry – all ofwhich will be explored in great depth at the7th Insurance Linked Securities Summit.

(on the life side)…there are still numerous headaches relatingto the life expectancy changes of 2008,with many would-be investors still skepticalabout the values of life settlement portfoliosbased on current LEs. At the same time, newregulatory and tax law changes – at boththe state and federal level – have introducedlegal and administrative burdens whichparticipants are trying to solve in the mostcost-effective way.

But the market continues to innovate andexpand, with new investment sourcesemerging in Asia and Latin America andnew longevity hedging strategies beingexplored for life settlement portfolios. Thegrowth of the synthetics market promisesexciting investment opportunities in 2010,and some fund managers have found waysto expand the investor community by“fusing” policies with alternative assetclasses to create hybrid investment productswith distinct characteristics.

7th

Insurance Linked Securities

Summit TM

Dear Colleague,

Welcome to the 7th Insurance Linked Securities Summit – the largest and most importantconference of the year for the entire ILS value chain.

Taking place in New York City from January 27-29, 2010, the ILS Summit is the only conferenceto deliver dedicated session tracks to both the life and non-life sides of the community. Thestructure of the conference ensures that – whichever side of the fence you’re interested in – youwalk away with two full days’ worth of strategies and solutions on the critical issues facing yourmarket, including…

***

“Excellent sessions and speakers. You and your team did a great job.”Kathleen Faries, Vice President, Market Solutions, Tokio Millennium Re Ltd.More than 70 expert speakers will contribute to the 7th ILS Summit, making it the deepest andmost important agenda we’ve yet delivered to the marketplace. Please take a few minutes to readthrough the agenda, circling the sessions and speakers that will help you make a business case toattend.

I look forward to meeting you in New York next January, at the “big one!”Kind regards,

Toby DonovanProgram DirectorILS & Life Settlements Portfolio

Don’t miss brand-newworkshops on ILS fund-raising, life settlement risk

management, and interpretingcat models (see page 8 for

more details)!

• Dr Kerry Emanuel, Professor of Atmospheric Science, MIT• Jean-Luc Besson, Chief Risk Officer, SCOR• Martin Bisping, Head of Non-Life Risk Transformation, Swiss

Re• Amer Ahmed, Chief Risk Officer, Allianz• Commissioner Paulette Thabault, Commissioner, Vermont

Insurance Department• Commissioner Gennett Purcell, Commissioner, DC Insurance

Department• Dr. Kenneth Froot, André R. Jakurski Professor of Business

Administration, Harvard Business School• John Seo, Managing Principal, Fermat Capital• Ivan Zelenko, Head of Derivatives and Structured Finance,

World Bank Treasury• Paul Schultz, President, Investment Banking, AON Benfield• Michael Leybov, Managing Director, Horton Point• Elaine Caprio Brady, VP, Ceded Reinsurance Operations,

Liberty Mutual• Urs Ramseier, Head of ILS, Horizon 21 Alternative

Investments• Dr Andreas Műller, Head of Origination, Distribution,

ILS Investments, Munich Re• Aashh Parekh, Director, Global Public Markets, TIAA-CREF• Chase Toogood, CEO, Iris Re• Franz-Philippe Przybyl, CEO, Berlin Atlantic Capital• Vincent Prabis, ILS Fund Manager, Acheron Capital• Dr. Andreas Müller, Head of Origination, Distribution & ILS

Investments, Munich Re• Stephen Velotti, Chief Underwriting Officer, Juniperus Capital• David Rawson-Mackenzie, Fund Director, Centurion Fund

Managers• Dr Lenny Smith, Professor of Statistics, London School of

Economics• Dr Pauline Barrieu, Reader in Statistics, London School of

Economics• Morton Lane, Principal, Lane Financial LLC• Patti Guattari, Director, Swiss Re• Jose Garcia, CEO, Carlisle Fund Management• Beat Hess, Managing Partner, AA Partners• Beat Holliger, Managing Director, Munich Re• Kyle Freeman, Catastrophe Risk Management, USAA• Wai-Keung Tang, Managing Partner, Kappa Life• Michael Freedman, SVP, Governmental Affairs, Coventry• Eddie Stone, Managing Partner, Stone Beach Capital• Greg Hagood, Principal & Co-Owner, Nephila Capital• Niraj Patel, Managing Director, Credit Derivatives and ILS,

Genworth Investments• Brian Tijan, Director, Life Finance Group, Credit Suisse• Brian Smith, CEO, Life Equity• Michael Stahel, Head of ILS, Clariden Leu• Luca Albertini, CEO, Leadenhall Capital Partners• Karsten Bromann, Managing Partner & CRO, Solidum

Partners• Michael Mandell, Managing Member, Highbrook Capital• Heinz Kubli, Managing Partner, Fundabilis• Matthew Browndorf, Founder & Chief Investment Officer,

Browndorf PEM• Anatoly Burman, Senior Managing Director, Aladdin Capital

Management• Enda McDonnell, CEO, Access Re• John Kiernan, Managing Director, Guggenheim Capital

60+ outstanding ILS thoughtleaders including…

Climate Change and the Future of Hurricane ActivityDr. Kerry Emanuel, Professor of Atmospheric Science, MITOne of the interesting things about insurance-linked securities on the non-life side istheir correlation not to the financial markets but to insurance pay-out events:earthquakes, floods, and particularly hurricanes. In this much awaited keynote session,Dr Emanuel – Professor of Atmospheric Science at MIT, and one of the world’s leadingauthorities on the science of long-term hurricane forecasting – will present hisresearch on the likely effect of climate change on future hurricane activity,and the implications for the global ILS market. A rare chance to hear fromone of TIME magazine’s 100 most influential people in the world. See page 4for more details.

Biotech Perspectives on Human Longevity ShiftsBill Caldwell, CEO, Advanced Cell TechnologyOn the life side, nothing has more power significantly to disrupt the long-term future ofthe life settlements space than dramatic enhancements in human longevity. For the 7thILS Summit, we’re honored to welcome Bill Caldwell, CEO of one of theworld’s most innovative stem-cell biotech companies, Advanced CellTechnology, who will offer a closer look at some of the emergingtechnologies that offer a prospect (if not the promise) of dramatic humanlongevity enhancements within our lifetimes. See page 4 for more details

“When Models Disagree…” Investor Perspectives on Conflicting Catastrophe ModelsDr. John Seo, Managing Principal, Fermat CapitalIn recent years, one of the most controversial areas in the non-life space has been theapparent disagreement of catastrophe models, and (more specifically) what theimplications of these disagreements are for investors in cat bonds. Accusations of “modelshopping” – the idea that cat bond sponsors shop around for the catastrophe modelthat is most favorable to their own issuance – have become widespread, despiteassurances by sponsors to the contrary. In this keynote session, legendary cat bondinvestor John Seo – one of the few fund managers to subscribe to all threemajor modeling agencies – will address the controversy head-on, explainingwhy the accusations are wrong and discussing some of the implications of thediscrepancies from an investment perspective. See page 6 for more details.

“Fusion” Life Settlement Products – a New Approach to LongevityInvestmentsMatthew Browndorf, Founder & Chief Investment Officer, BrowndorfPEMRecent years have witnessed a number of strategies for broadening the investment basefor life settlements – through synthetic emulation of longevity risk, and more recently,through agency-rated securitizations of life settlement pools. One of the latest strategiesto have emerged is that of “fusion” life settlement products, which involves blendingpolicies with complementary asset classes to create hybrid investment products withdistinct characteristics. Matthew Browndorf, one of the pioneers of the newstrategy, will explain how to optimally construct fusion life settlementproducts that preserve the non-correlated benefit of the asset class whilemitigating longevity risk. See page 4 for more details.

The Future of Insurance Risk TransferProfessor Kenneth Froot, André R. Jakurski Professor of BusinessAdministration, Harvard Business SchoolIQPC is honored to welcome Professor Kenneth Froot to deliver the opening keynoteaddress at the 7th ILS Summit. Professor Froot is one of the world’s leading authoritiesin the area of risk transfer and insurance-securitization, and will devote his keynoteaddress to the future of the space … where the most disruptive innovationsare likely to occur, how the financial recovery is likely to impact demand forinsurance-linked securities on both the life and non-life sides, how technologywill transform this marketplace in the years to come. An unmissable session –see page 4 for more details.

Keynote Highlights…

What’s New at the 7th ILS Summit?

Sponsors: 3

Pension & Endowment Fund Think Tank – New for 2010Attendance confirmed from APG, OTPP, TIAA-CREF, as of 10/16/09

E-mail Toby Donovan to request an invitation: [email protected]

Main Conference Day 1Thursday, January 28, 2010

Concurrent Sessions Begin: Choose Track A or B

Track A: Non-Life (Cat Bonds and other forms of P&C Insurance Securitization)

11:30 Examining the Role of the Lehman Collapse in theStrengthening of the ILS Market• New and improved transparency: Documentation standardization,

development of PERILs and other ways to increase clarity in the ILSmarket

• De-risking structures: Evolution of ILS structures from 2008 andbeyond

• What is required to keep the ILS market growing efficiently andeffectively

Martin Bisping, Head of Non-Life Risk Transformation, Swiss Re

12:15 Panel Discussion: Towards Deeper, Transparent, andMore Liquid ILS Markets: Forecasting the Impact ofInnovation and Technology on the Future of Non-Life Risk Transfer• Understanding the importance of increasing transparency within the

ILS space• Charting the impact of exchange-traded products and technological

solutions on the efficiency and depth of the market• Examining the role of new trigger structures and risk transfer

mechanisms• Expanding the investor base for insurance-linked securitiesMartin Bisping, Head of Non-Life Risk Transformation, Swiss ReJohn Seo, Managing Principal, Fermat CapitalDr Andreas M ller, Head of Origination, Distribution,ILS Investments, Munich Re

Track B: Life (Life Settlements, Longevity Risk & Life Insurance Securitization)

A New Approach to Life Settlement Investments:“Fusing” with Other Asset Classes to MitigateLongevity Risk• Identifying suitable target asset types for fusing with life settlements• Examining the investment dynamics of fusion life settlement products• Comparing the investor base: Does the fusion innovation broaden the

appeal of longevity-based investments?• Understanding – and avoiding – the dangers associated with fusion

productsMatthew Browndorf, Founder & Chief Investment Officer,Browndorf PEM

Hedging Tools for Life Settlement Funds:Examining the Full Range of Strategies forMitigating Longevity Risk within a Portfolio• Life settlement portfolio simulation exercise: Understanding how

excess longevity can affect the profitability and/or viability of a lifesettlement fund

• Identifying the full range of hedging mechanisms available for a lifesettlement portfolio, including:- Reinsurance- Synthetics- Capital protection- Currency hedging

• Principles for determining which hedging strategy is right for you,based on the size and morbidity of your portfolio

David Rawson-Mackenzie, Fund Director, Centurion FundManagersFranz-Philippe Przybyl, CEO, Berlin Atlantic CapitalHeinz Kubli, Managing Partner, Fundabilis

10:00 CROs Roundtable:Sponsor Considerations on the Role of ILS within a Comprehensive RiskManagement Strategy• Identifying the advantages of insurance-linked securities compared

with traditional reinsurance• Understanding the disadvantages• Understanding the most effect strategies for complementing your

reinsurance coverage through ILS • Considerations on structuring catastrophe bonds: Making the

choice between indemnity, parametric and hybrid bond triggers• Risks, perils and layers best for reinsurance and those best for ILS

transactions• Comparing ILS with collateralized reinsurance from a capacity and

risk standpointJean-Luc Besson, Chief Risk Officer, SCORElaine Caprio Brady, VP, Ceded Reinsurance Operations, LibertyMutualAmer Ahmed, Chief Risk Officer, AllianzInsa Adena, Head of Advanced Risk Intermediation, Allianz

10:45 Morning Networking Break

7:15 Coffee & Registration

8:15 Chairman’s Opening Remarks

8:30 Opening Keynote Address: The Future ofInsurance Risk Transfer• The financial crisis and the changing paradigm for insurance risk

transfer• Considerations on the future of insurance-linked securities and

other forms of alternative risk transfer• Defining the future role of the global reinsurance industry in the

transfer, mitigation, and securitization of riskDr. Ken Froot, André R. Jakurski Professor of BusinessAdministration, Harvard Business School

9:15 Keynote Guest Address:Climate Change and the Future of HurricaneActivity• Examining the impact of climate change on the incidence, and

severity, of tropical storms and hurricanes• Forecasting changes in the spatial distribution of tropical storms• Analyzing the financial implications of increases in

storm activity within vulnerable geographic regionsDr. Kerry Emanuel, Professor of Atmospheric Science, MIT

“This is THE must attend ILS event. So many people attend the event - the networking is one of the main benefits.” - Michael Stahel, Head of Insurance-Linked Investments, Clariden Leu


“I enjoyed the conference and thought it was well worthwhile. You did a great job of organizing such a large and expertgroup of people, especially in the current economic environment.” - Morton Lane, President, Lane Financial LLC

Uncovering the Investment Opportunities inSynthetic Longevity Products:New Risk/Reward Trade-Offs for New Kinds ofInvestor• Identifying the circumstances in which makes sense to take out

synthetic longevity exposure• Understanding the difficulties involved in pricing tail risk• Comparing synthetic products with cash investments in the secondary

market• Lifting the lid on innovations in synthetic productsMichael Mandell, Managing Member, Highbrook CapitalMarcel Grandi, Senior Portfolio Manager, Insurance-linkedStrategies Team, Credit Suisse Asset Management

Longevity Swaps:An Effective Risk Management Tool for Pension Funds?• Understanding the structure of a conventional longevity swap:

exchanging fixed payments to the swap provider in exchange forcoverage of pension payments beyond a certain age

• Identifying the risks associated with entering into a longevity swapfrom the pension point of view:- Credit risk of the counterparty- Longevity risk miscalculation

• Overcoming the challenges involved with selecting a longevity swapcounterparty

• Creating swap documentation that incorporates some measure offlexibility, including (if possible) an early exit clause

Achieving Superior Returns and DiversificationBenefits through Investments in Extreme Mortality• Examining the structures of recent mortality transactions including

Vita, Osiris & Nathan• Tracking the influence of pandemic and swine flu jitters on mortality pricing• Putting mortality bonds in context: Understanding the level of

mortality needed to trigger losses• Quantifying the effectiveness of extreme mortality as a hedge against

excess longevityUrs Ramseier, Head of ILS, Horizon 21 Alternative InvestmentsLuca Albertini, CEO, Leadenhall Capital Partners

Realigning your Fund Structure with the NewTaxation RegimeCost-Effective Solutions for Responding to the IRSGuidance• Understanding what the IRS rulings mean for the taxation of death

benefits en-route to your fund• Determining the most suitable regions for setting up a life settlement fund • Identifying the sources of international investment capital within your

portfolio• What to do if you have both treaty and non-treaty investment sources• Creating transparent structures to avoid commingling headaches if

setting up a fund from scratchJose Garcia, CEO, Carlisle Fund Management

Sponsors: 5

Main Conference Day 1 Continued

1:15 Networking Luncheon sponsored by:

2:15 Triparty Repo vs. Government-Guaranteed Solutions:The Future of Collateral Management• Examining the collateral structures of recent catastrophe bonds • Comparing the advantages of the triparty repo with government-

guaranteed collateral solutions like treasuries and KfW floating notes• Focus on Triparty-Repo structures• Focus on government-guaranteed solutions• A look at the collateral structures on the cards for 2010’s cat bond

issuesVincent Prabis, ILS Fund Manager, Acheron CapitalMichael Leybov, Managing Director, Horton PointBeat Holliger, Managing Director, Munich Re

3:00 World Bank Update:Examining the Future Role of ILS in the CatastropheRisk Management Strategies of Member Countries• A closer look at the capacity needs of World Bank member countries• Understanding how the World Bank is working to improve disaster

preparedness and risk mitigation capabilities• Examining the role of catastrophe bonds in the risk transfer strategies

of developing nations• Spotlight on the Caribbean Catastrophe Risk Insurance Facility• Identifying future investment opportunities proceeding from World

Bank risk mitigation activitiesIvan Zelenko, Head of Derivatives and Structured Finance,World Bank Treasury

3:45 Afternoon Networking Break

4:30 Investment Opportunities in CollateralizedReinsurance• Comparing collateralized reinsurance to traditional reinsurance and

insurance-linked securities• Examining the returns possible through collateralized reinsurance

investments• Considerations on the choice of investment trust and letters of credit

arrangements• Forecasting future changes in the size of the collateralized reinsurance

sectorStephen Velotti, Chief Underwriting Officer, Juniperus CapitalGreg Hagood, Principal & Co-Owner, Nephila Capital

5:15 The Global Market for Industry-Loss Warranties• Examining the current state of the ILW market• Comparing the volume of 2009 ILW coverage with the total 2009 cat

bond issuance• Understanding the advantages of ILWs compared with cat bonds:

- Shorter time to market- Smaller transaction costs- More competitive pricing

• Quantifying the impact of the new Perils index on the future of themarket in European ILWs

Chase Toogood, CEO, Iris RePatti Guattari, Director, Swiss ReEnda McDonnell, CEO, Access Re

5:45 Cocktail Reception sponsored by

7:00 End of Day 1

Main Conference Day 2Friday, January 29, 2010

Concurrent Sessions Begin: Choose Track A or B

8:30 Keynote Address: When Models Disagree:A Fund Manager’s Perspectives on the InvestmentImplications of Conflicting Catastrophe Models• Comparing applications for catastrophe models: ILS vs. traditional

reinsurance• Understanding how different applications make use of different

analytical modules• A closer look at the way modules interact in indemnity-style

transactions compared with parametric-style transactions• Getting to grips with the “fudge-factor” in catastrophe models: Why

cat bond analyses disagree more frequently than reinsurance analyses• Addressing the suspicion of “model-shopping” by sponsors of

catastrophe bonds• Understanding the implications for investors in catastrophe bonds:

Does model divergence really matter, and what can investors doabout it?

John Seo, Managing Principal, Fermat Capital

9:30 Fund Managers’ Perspectives on ILS PortfolioConstruction:Identifying the Most Effective Combinations of Trigger,Peril and Collateral Structures• Understanding the full range of diversification strategies:

- Diversification by peril (wind, quake, life)- Diversification by geography (US, Europe, Asia, South America)- Diversification by investment type (cat bonds, ILWs, sidecars,

exchange-traded products• Identifying the most effective diversification combinations for

conservative, moderate, and high levels of risk tolerance• Fund manager perspectives on new collateral arrangements:

Expressing a preference between treasuries, floating KfW notes, andtriparty repo

Niraj Patel, Managing Director, Credit Derivatives and ILS,Genworth InvestmentsLuca Albertini, CEO, Leadenhall Capital PartnersAashh Parekh, Director, Global Public Markets, TIAA-CREF

10:30 Morning Networking Break

Track A: Non-Life

11:15 Examining Uncertainties in Climate Models:Forecasting the Impact of Best and Worst CaseClimate Scenarios on the Future of the ILS Market• Identifying the key uncertainties in climate models• Understanding what model uncertainties reveal about best and worst

case future climate scenarios• What is the role of regional models in climate understanding?• Determining the economic consequences of model uncertainties• Analyzing the possible implications for the future of the ILS marketDr. Lenny Smith, Professor of Statistics, London School of EconomicsDr. Pauline Barrieu, Reader in Statistics, London School of Economics

Keynote Guest Address:The Evolving Parameters of Human Longevity:Biotech Perspectives on the Ability of MedicalTechnology to Enhance the Human Lifespan• Examining the factors that will continue to play a role in the

extension of longevity:- Biotechnology & genetic engineering- Improvements in diet - Medical advancements in the treatment of cancer, respiratory and

heart disease• Examining the factors likely to increase levels of mortality:

- Obesity & the “sedentrification” of the Western lifestyle- Flu and the risk of pandemics- Population growth and geopolitical tensions

• Combining the factors into a unified model: How will our longevitybe influenced by changes in 21st century life?

Bill Caldwell, CEO, Advanced Cell Technology

Making Securitization Mainstream:A Vision of Future Life Markets• A closer look at past securitization attempts: Tarrytown, Legacy, AIG• Examining the obstacles to mainstream securitization:

- Inadequate transparency and fee disclosure- Residual lack of “comfort factor” among rating agencies

• Understanding the importance of increased clarity andstandardization of the general methods for predicting lifeexpectancies

• Establishing rating agency standards for assessing credit risksassociated with securitization transactions

• Examining the possible risks of securitizationAnatoly Burman, Senior Managing Director, Aladdin CapitalManagementJohn Kiernan, Managing Director, Guggenheim Capital

Track B: Life

The Evolution of Regulatory Attitudes towards theSecondary Market for Life Insurance• Regulatory attitudes towards STOLI and the emerging consensus on

“insurable interest”• An overview of the proliferation of life settlement regulations and

what it means for consumers, companies and investors.• The relationship between the regulators and legislators regarding life

settlements: where it has been and where it’s goingCommissioner Paulette Thabault, Commissioner, VermontInsurance DepartmentCommissioner Gennett Purcell, Commissioner, DC Insurance Department

7:15 Coffee & Registration

8:15 Chairman’s Opening Remarks

“I was very positively surprised to see so many people attending the conference – especially in thecurrent environment. This speaks for itself and, obviously, for the conference organizers. IQPC’s ILSSummit is most certainly an event worth attending.”- Beat Holliger, Managing Director, Munich Re Capital Markets


The Role of the US Federal Government in LifeSettlements and Insurance• IRS Revenue Rulings 2009-13 and 2009-14 – what has been

happening since these rulings took effect in August 2009?• What is the proper role of the SEC in life settlements?• Capitol Hill Update: What will happen with life settlements and life

insurance in 2010 and beyond?Commissioner Gennett Purcell, Commissioner, DC Insurance Department

Actuarial Perspectives on Older Age Mortality:Examining the Shift in Life Expectancies and theImplications for Life Settlement Values• Charting the evolution of actuarial perspectives on older age mortality• Understanding how different actuarial groups perform mortality calculations• Is it an asset or a liability? Principles for determining whether a life insurance

policy represents a buying opportunity or “a falling knife”Eddie Stone, Managing Partner, Stone Beach Capital

The European Life Settlements Markets:Achieving a Better Understanding of the Sourcesand Motivations of European Investment Capital• Identifying the sources and types of European investment capital• Examining the geographical dispersal of European investors

throughout Denmark, Norway, the Netherlands, Switzerland,Luxembourg, Germany, France and the UK

• Understanding the role that life settlements play in European assetallocation strategies

• Overcoming the obstacles to attracting European investment capitalFranz-Philippe Przybyl, CEO, Berlin Atlantic CapitalBeat Hess, Managing Partner, AA PartnersHeinz Kubli, Managing Partner, Fundabilis

Further Afield…Exploring New Investment Opportunities in Asia &Latin America• Identifying the sources and types of Asian and Latin American

investment capital• Examining the geographical dispersal of Latin American investors

throughout Argentina, Chile, Brazil, Venezuela and Colombia• Examining the geographical dispersal of Asian investors throughout

Thailand, Malaysia, Singapore, Hong Kong, and Australasia• Overcoming the obstacles to attracting Asian and Latin American

investment capitalWai-Keung Tang, Managing Partner, Kappa Life

12:00 Parametric Cat Bonds:Basis Risk and Model Uncertainty for Issuers andInvestorsBasis risk for issuers:• Introducing an analytical framework to evaluate the basis risk of

parametric cat bonds• Quantifying the basis risk reduction benefit achieved by using

sophisticated optimization algorithms • Identifying critical aspects of basis risk that can be potentially

overlooked by issuers and their advisorsModel uncertainty for investors:• Quantifying the level of model uncertainty associated with parametric

bonds • Outlining an analytical process to systematically differentiate and

quantify the model uncertainty for different types of parameter triggersLixin Zeng, Portfolio Manager, Alpha Cat Fund

12:45 Networking Luncheon

2:00 Integrating ILS into USAA’s Property CatastropheReinsurance Program• The importance of collateralized coverage (both traditional and ILS) to

a reinsurance program • The pros and cons of ILS as compared to traditional reinsurance • Issues that can arise from having mismatches in coverage between

traditional and ILS-backed reinsurance • Determining where ILS-backed coverage can fit into an overall

reinsurance structure Kyle Freeman, FCAS, MAAA, Catastrophe Risk Management, USAA

2:45 New Hybrid Loss Triggers: Bridging the DesirabilityGap Between Sponsors and Investors• Examining the desirability gap between indemnity and parametric

bond triggers• Understanding the capital implications of different trigger structures• Enhancing granularity in loss allocation by structuring synthetic

protection in smaller units• Understanding the role that hybrid loss triggers will play in the future

of catastrophic risk transfer

3:30 Enhancing the Deal Flow:Creating a Dialogue Between Issuers and Investorsin Order to Reduce the Disconnect Between Supplyand Demand• Understanding the disconnect between deals being brought to market

and capital looking for a home• Understanding the interrelationship between pricing levels, hurricane

activity, investor interest and sponsor interest• Identifying possible solutions to the deal flow problem:

- Making the deal flow more regular, to improve the interplaybetween supply and demand

- Improving the transparency of the deal flow- Increasing the frequency of new issues through smaller-sized,

more standardized transactions• Creating stronger dialogue between issuers and investors to remove

the obstacles to the growth of the market• What’s next? A look to the ILS deal flow in 2010 and beyondKarsten Bromann, Managing Partner & CRO, Solidum PartnersMichael Stahel, Head of ILS, Clariden LeuPaul Schultz, President, Investment Banking, AON BenfieldInsa Adena, Head of Advanced Risk Intermediation, Allianz

4:15 End of Conference

Sponsors: 7

“Well done on a very good event.” - Eamonn Ling, Investment Director, Catalyst Investment Group

Main Conference Day 2 Continued

“The conference was great and I learned a lot of new things, especially within the pre-conference workshops!I think you did a fantastic job in pulling everything together, the speakers had excellent experience andknowledge. Keep up the good work!” - Sun-Siang Liew, Senior Analyst, Validus Research

9:30

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The life settlements space has witnessed a great deal of innovationin 2009, but also a lot of regulatory challenges and negative press.Additionally, the asset class requires high levels of sophistication andeducation among investors, and it is – at least in its cash form –both a long term investment and an illiquid one. In the midst ofthese negatives, many life settlement funds have experienceddifficulties in communicating the extensive benefits of the asset classto new and wary investors. How can they succeed going forward?What are the most effective fund structures and capital raisingstrategies for broadening the investment base for life settlements?How can an individual fund gain advantage over its competitors?

What You Will Learn:• Identifying the most viable sources, types and geographies of

investment capital for life settlements• Understanding how life settlement investment decisions vary

between various kinds of investor• Examining strategies for restructuring your fund in order to attract

new sources of investment capital, especially in the light of newIRS taxation guidance

• Evaluating the importance of maintaining transparent originationprocesses

How You Will Benefit:• Get an edge over your competitors in the hunt for new

investment capital• Present your investment strategy in a way that matches the

allocation decision-making process for each investor groups• Understand – and avoid – the key mistakes made by fund

managers as they raise capital

Capital-Raising for your ILS FundMany ILS funds suffered in the early part of 2009, with thefinancial crisis forcing redemptions within an asset class thatwas performing well compared with the rest of themarketplace. Now that the dust has settled and many investorsare seeking uncorrelated investments as part of their de-riskingstrategies, ILS funds stand to capitalize… but they will also facestrong competition for fresh capital as well as newlydemanding due diligence procedures. How can ILS fundsdistinguish themselves in the new environment? How can theyposition themselves first in the line for institutional and otherforms of investment capital? What fund structures will prove tobe the most successful?

What You Will Learn:• Identifying the most viable sources, types and geographies of

investment capital for insurance-linked securities• Understanding how the ILS asset allocation decision-making

process differs between various kinds of investor• Examining strategies for restructuring your fund in order to

attract new sources of investment capital• Considerations regarding the marketing and competitive

positioning of your fund

How You Will Benefit:• Get an edge over your competitors in the hunt for new

investment capital• Present your investment strategy in a way that matches the

allocation decision-making process for each investor groups• Understand – and avoid – the key mistakes made by fund

managers as they raise capital

A

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2:30

pm) 360° Risk Management for Life Settlement Portfolios

Investing in life settlements is a complicated business, with a numberof critical risks that need to be addressed by the investor in order tomaximize returns. This workshop will provide investors, fundmanagers, and others involved in the life settlements space with thetools they need to manage and reduce risk, whether it’s the risk oflongevity, the risk of incorrect valuation, the risk of sub-optimal policyselection, as well as legal and liquidity risks. An unmissable workshopfor those seeking to invest with confidence!

What You Will Learn:• A closer look at the policy selection process – safeguarding against

insurable interest and other potential procurement issues• Understand how the valuation process can help to mitigate

extended longevity risk in a life settlement portfolio

• Determine the right legal structure for the right jurisdiction (Ireland,Luxembourg) to help mitigate tax issues such as the potentialimpact of the recent IRS rulings

• Examine synthetic strategies for managing liquidity risk, includinghow to hedge liquidity and currency/credit risks associated with alife settlement portfolio

How You Will Benefit:• Invest in confidence• Get a comprehensive understanding of the risks involved with

investing in life settlements before you commit capital• Walk away with the most cost-effective strategies for reducing the

riskiness of your life settlement investments

C

4:00

pm –

6:3

0pm

(Reg

istra

tion

at 3

:30p

m)

Making Better Use of Catastrophe ModelsCatastrophe models are a criticial part of the puzzle for investors innon-life ILS, but there are few outside the modeling agenciesthemselves who understand exactly how the models are designed. Inthis workshop, take a look “under the hood” of some of the world’smost important and popular catastrophe models, and learn how tomake better use of models in your investment calculations.

What You Will Learn:• Understand how catastrophe models combine actuarial science,

engineering, seismology, metereology and expert opinion• Examine the interrelationship between hazard, inventory and

vulnerability values within cat models

• Gain a better sense of the ways catastrophe models are used in thestructuring – and choice – of cat bond triggers

How You Will Benefit:• Learn what the implications are of discrepancies between different

catastrophe models• Become a more sophisticated cat bond investor by better

understanding the relationship between modeled values and catbond pricing

D

B

OR


Pre-Conference WorkshopsWednesday, January 27, 2010

Capital-Raising for your Life Settlements Fund

“The conference was exceptional. The program and speakers, as well as the attendees, were allexcellent. We look forward to working with you on the upcoming conferences.” - Michael Freedman,Senior Vice President, Government Affairs, Coventry

9

For over 25 years, Coventry has been redefining insurance. Founded in 1982, Coventry began as an insurancemarketing, product development and policy administration firm. Known as a leading innovator in the industry,Coventry assisted insurance carriers in the development of product, software and distribution. It established itself asone of the top corporate life insurance companies in America during the 1990s, servicing over 70,000 policies for itscorporate clients. In 1998, Coventry created the secondary market for life insurance in the United States and coinedthe term “life settlement”. As the market leader, Coventry has structured and financed transactions representingmore than $25 billion of death benefit and has been a key driver behind the market’s rapid growth. Today, Coventryis the largest purchaser and servicer in the longevity and mortality market, employing more than 200 people. Basedin Pennsylvania, Coventry was the first secondary market firm to earn Standard and Poor’s highest servicer ranking(2004 and reaffirmed in 2006). In 2005, Coventry was first in revenue in the insurance category of the annual Inc.500 listing of the fastest growing private companies in America. Website: www.coventry.com

As one of the world’s leading banks, Credit Suisse provides its clients with investment banking, private banking andasset management services worldwide. Credit Suisse offers advisory services, comprehensive solutions and innovativeproducts to companies, institutional clients and high-net-worth private clients globally, as well as retail clients inSwitzerland. Credit Suisse is active in over 50 countries and employs approximately 48,000 people. Credit Suisse’sparent company, Credit Suisse Group, is a leading global financial services company headquartered in Zurich. CreditSuisse Group’s registered shares (CSGN) are listed in Switzerland and, in the form of American Depository Shares(CS), in New York. The Life Finance Group at Credit Suisse is a dedicated group of over 90 professionals withbackgrounds in various industries which include insurance, banking, structuring, sales and risk management based inNew York, London and Hong Kong. Website: www.credit-suisse.com

At LIFE EQUITY, our pricing philosophy is governed by the standard that two policies with the same criteria willreceive the same offer. We believe this approach results in consistent and higher payments to owners of lifeinsurance policies who wish to integrate a life settlement into their financial planning. Our funding comes from top-rated financial institutions and not from private investors. LIFE EQUITY makes direct contact with policy owners ortheir intermediaries regarding offers made. This practice assures a more efficient and expeditious process. Website:www.lifeequity.net

SPONSORSHIP AND EXHIBITION OPPORTUNITIESSponsorships and exhibits are excellent opportunities for your company to showcase its products and services to high-level, targeted decision-makersattending the 7th Insurance Linked Securities Summit. IQPC and Finance IQ help companies like yours achieve important sales, marketing and brandingobjectives by setting aside a limited number of event sponsorships and exhibit spaces – all of which are tailored to assist your organization in creating aplatform to maximize its exposure at the event.

For more information on sponsoring or exhibiting at the 7th Insurance Linked Securities Summit, please contact Mario Matulich at 212-885-2719 [email protected].

Media Partners:

About Our Sponsors

Sponsors:

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December 4, 2009 January 8, 2010

Conference (Save $800) (Save $200)Only $999 $1,599 $1,799

Workshops $549 each $549 each $549 each

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For more information about the 7thInsurance Linked Securities Summit, pleasevisit our website at www.ilsnewyork.comor call 1-800-882-8684.

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Special Discounts Available: A limited number of discounts areavailable for the non-profit sector, government organizations andacademia. For more information, please contact customer service at1-800-882-8684.

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7th


7th

SecuritiesSummit

Insurance Linked

January 27 – 29, 2010 New York City

Choose your workshop(s):

Venue and Accommodations:Venue is to be announced. Please checkwww.ilsnewyork.com for updates and announcements.

7th Insurance Linked Securities Summit

Economy & Finance

Transcript of 7th Insurance Linked Securities Summit