Insured Credit
Aegon AM’s Insured Credit strategy provides investors access to de-risked debt assets whilst preserving an attractive yield and return on capital.

It offers investors distinct benefits including:

Low credit risk
High yield pick-up
Strong diversification profile
Responsible investing
Attractive Capital Treatment
Download the latest paper on Insured Credit
Insurance Asset Management Roundtable - Insured Credit – Q2 2024

In this Roundtable, hosted by Asset TV, Mark Colgate is joined by a panel of experts to discuss the outlook for insured credit, focusing on the investment approach, and the growing interest in the asset class. The speakers examine benefits such as risk mitigation, capital optimization, diversification, enhanced investment opportunities and access to ESG-friendly assets.

Speakers:

  • George Nijborg, Head of Insured Strategies & European Private Placements, Aegon AM

  • Sam Tufts, Co-Head of Strategy & Solutions, Asset Management, Phoenix Group

  • Paul Whelan, Partner and co-head of global fixed income manager research, Aon

Insured Credit strategy

In this video, George Nijborg, Head of Insured Strategies & European Private Placements, provides an overview of the Insured Credit strategy and the key reasons why investors should consider allocating to the strategy in the current market environment. The strategy offers institutional investors access to de-risked alternative debt assets, a pickup to liquid markets, attractive capital treatment and ESG friendly assets.

Why invest in Insured Credit?
Low risk assets
The search for yield
Yield optimisation
Diversified exposure
Capital efficiencies
Strong track record
Overview of our key Insured Credit strategies

At Aegon AM we offer differing strategies to suit various investor preferences for yield and portfolio objectives. Past performance does not predict future returns.

  INSURED CREDIT INSURED INFRASTRUCTURE
Rating AA/A AA/A
Yield (in Euro) Swaps + 225-250bps Swaps + 200bps
Tenor

Up to 15 years

5yr WAL expected / 2.5-5yr duration expected

Up to 15 years

5yr WAL expected / 5yr duration expected
Investment Vehicle

Luxembourg RAIF

Segregated

Luxembourg RAIF

Segregated
Capital Charge Low Low
Risk

Double recourse

Super Senior Security

Double recourse

Super Senior Security

Typical Recovery Rate

 Very High Very High

ESG Integration

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Matching (fixed rate)

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Source: Aegon AM. As at March 2024.

Insured Credit and sustainable investing

One of the main benefits the Insured Credit strategy is that it offers investors the ability to select assets with strong social, environmental and sustainable characteristics. There are scalable opportunities where the underlying collateral has (strong) alignment with United Nations’ Social Development Goals (SDG’s) particularly within emerging markets.

Aegon AM’s Insured Credit team works closely with Aegon AM’s Responsible Investment team to assess the ESG risks and sustainability characteristics of each transaction.

Example projects funded via Insured Credit investments include:

  • Hydro power plant
  • Intelligent road traffic management systems
  • Construction of healthcare facilities
  • Water sanitation
  • Communication infrastructure
  • Electrification network upgrades
  • Airport development
  • Road infrastructure