Asset managers who specialize in insurance portfolios are finding themselves up against intensified competition as they vie for management roles with insurance companies. In today’s environment, insurers are looking beyond just investment performance when choosing their asset managers. They now seek partners who can offer a breadth of data, insightful analytics, and additional services that add value.
More than ever, insurance companies are drawn to asset managers who bring more than just their investment acumen to the table. These companies need partners that can handle complex accounting, deliver comprehensive reporting, and ensure adherence to stringent regulatory standards. For asset managers who can specialize, this shift opens new doors to separate themselves from the competition, potentially growing their insurance portfolios, and securing more mandates.
To stand out, asset managers can offer these three critical value-added services:
Regulatory & Risk-Based Capital Alignment
- Creating asset ratings and classifications that align with the National Association of Insurance Commissioners (NAIC) designations, to optimize capital treatment.
- Offering customized valuation policies for private market investments, along with timely updates on valuations, cash flow, and income projections.
Customized Reporting
- Providing insurance-specific analytics, including statutory book values and yield data.
- Ensuring online access to customizable portfolio reports and analytics for both public and private investments.
Tailored Expertise
- Delivering outsourced multi-basis investment accounting.
- Assisting with the preparation, review, and filing of quarterly and annual NAIC statutory statements.
When asset managers weave these services into their offerings, they not only make a compelling case for insurers to allocate more of their funds but also form deeper, more resilient partnerships. When accounting services and regulatory filings are seamlessly integrated, the barriers to switching managers become significantly higher.
Choosing the Right Partner
Many insurance-focused asset managers are turning to providers like SS&C to integrate these value-added services. SS&C, with its cutting-edge multi-basis insurance accounting platform known as Singularity, empowers managers to offer complete statutory, GAAP, and tax accounting and financial reporting services, whether for full or partial portfolios. Unlike some other providers, SS&C’s platform supports automated trade processes and accounting across all sectors—public or private, equity or credit. This capability allows managers to manage larger and more intricate portfolios from various insurance clients, such as those in life & annuity, health, and reinsurance sectors.
Beyond accounting, SS&C’s Singularity platform stands out as a cloud-native SaaS solution, giving managers’ insurance clients real-time access to portfolio holdings, transactions, and tailored reports via an intuitive online interface.
Moreover, SS&C provides unparalleled expertise in insurance accounting and regulatory compliance, helping asset managers navigate complex regulatory landscapes. With SS&C’s guidance, managers can offer:
- Regulatory Alignment: Ensuring security classifications, valuations, and filings are up to regulatory standards.
- Risk-Based Capital (RBC) Calculations: Optimizing capital usage with accurate RBC calculations tailored to specific portfolios.
- Customized Reporting: Automated, bespoke reporting that ensures accurate and timely information delivery.
- Accounting Services: Providing specialized support in multi-basis accounting, tax accounting, and data integrity to support audit or regulatory inquiries.
SS&C also proposes flexible and cost-effective options for asset managers, making it easier for them to attract insurance clients:
- Bundled Pricing: Incorporate SS&C fees into the managerial fee structure, offering insurers competitive, integrated solutions.
- Flexible Engagement Models: Adapting the operational model to suit any specific manager or insurer needs, whether this means SaaS, co-sourcing, or outsourcing.
The combination of affordability, adaptability, and scalability helps asset managers bring in and retain insurance clients, regardless of the complexities involved.
Position Yourself for Growth
Asset managers focused on insurance have a compelling opportunity to grow their portfolios by aligning with SS&C. By tapping into advanced technology, tailored expertise, and cost-effective strategies, they can provide the comprehensive services that modern insurers expect. SS&C’s approach to addressing operational, regulatory, and financial challenges allows asset managers to truly differentiate themselves in a crowded marketplace.
If you’re ready to expand your insurance portfolio, reach out to SS&C today to learn how the Singularity platform and their expert services can provide a competitive advantage.
