Investment Services for the Insurance Industry

In the midst of fragile economic conditions and interest rate uncertainty, insurers face a long list of investment challenges. These challenges are further complicated by regulatory changes that have a significant impact on both sides of the balance sheet — assets and liabilities.

In this environment, many insurers have implemented sophisticated hedging strategies and diversified their investment portfolios to both manage risk and improve returns. At the same time, Towers Watson research confirms that investment strategies typically include a search for "best ideas" for the fixed-income portfolios.

For all insurers, the goal is to retain adequate liquidity while preserving principal — essential operating objectives if insurers are to retain the flexibility to pay claims and maintain ratings. But reaching these objectives requires increasing levels of investment and risk management expertise.

Towers Watson is well suited to serve as your investment partner. Our investment services, already among the most expansive in the industry, were bolstered by the 2011 addition of the WellsCanning investment consulting team, which has specialized in insurance asset management since its founding in 1995.

Why Towers Watson

• Towers Watson is the largest investment advisor with a team dedicated to the insurance industry. We work with more than 1,000 pension funds, insurers and institutional investors with assets in excess of US$2 trillion globally.
• We pioneered many of the asset/liability modeling and scenario-generation techniques used today.
• Our consultants have a proven success record in researching and selecting investment managers across all investment classes, involving more than 100 investment consultants.
• Towers Watson offers independent investment advice and has created processes to ensure there are no commercial compromises in our advice.
• The fourth-largest reinsurance broker, we cover all major lines of business and maintain trading relationships with more than 200 reinsurers and Lloyd's underwriters.