Charting New Heights in ILS Investment
Significant Growth in Assets
Fermat Capital Management, a distinguished entity in the realm of catastrophe bonds and insurance-linked securities (ILS) investment, has recently achieved an impressive new peak in its managed assets. The firm's total assets under management (AUM) for cat bonds and ILS strategies have now surpassed the $11 billion threshold.
Sustained Expansion Through Strategic Inflows
Over the past half-year, Fermat Capital Management has successfully augmented its ILS assets by approximately $1.1 billion. This increase follows an earlier reported AUM of $9.9 billion at the close of 2025, demonstrating consistent upward momentum. As of July 1st, 2026, this growth signifies an 11% expansion in managed ILS assets within the current year.
Maintaining Market Leadership
Having previously crossed the $10 billion mark in ILS AUM by the end of 2024, Fermat Capital Management has maintained its leading position. With its current $11 billion in cat bond and ILS AUM, the firm stands as a premier manager in Artemis' comprehensive directory of ILS fund managers, specifically among those with publicly disclosed figures.
Diverse Drivers of Asset Growth
The continued growth in Fermat's assets can be attributed to several factors. Besides attracting fresh capital from investors into its diverse range of catastrophe bond funds and other ILS strategies, the firm has also benefited from consistent coupon returns over recent months, which have further bolstered its overall asset base.
Strategic Initiatives and Product Diversification
In recent years, Fermat has actively pursued an expansion strategy, enhancing the choices available to investors interested in allocating capital to its ILS fund strategies. A notable development includes the significant growth of the Fermat-branded UCITS catastrophe bond fund strategy, which was only launched in 2024 and has already accumulated nearly $2.9 billion in AUM.
Expanding Beyond Natural Catastrophe Risks
Further demonstrating its commitment to diversification, Fermat established a casualty insurance-linked securities (ILS) division in 2024. This strategic move broadened its portfolio of insurance-linked investment offerings, extending beyond traditional natural catastrophe risks to encompass a wider array of insurance perils.
Enhanced Accessibility for U.S. Investors
Adding to its strategic initiatives, Fermat recently introduced its first U.S.-domiciled cat bond fund structure. This innovation aims to facilitate access to the asset class for U.S. taxable investors and those who are unable to invest in offshore vehicles, thereby broadening the investor base.
Strengthening Investor Relations and Operational Capacity
These new funds, alongside the suite of commingled ILS strategies launched in early 2025, have played a crucial role in enabling Fermat to sustain its steady business expansion. They provide additional avenues for third-party investors to tap into the attractive returns offered by its cat bond and ILS portfolio management strategies. Concurrently, Fermat Capital Management has been bolstering its team, with recent hires including investor relations specialists dedicated to specific regional markets, such as the addition earlier in 2026 to enhance engagement in Switzerland and Italy.
A Key Player in Global Reinsurance
With an impressive $11 billion in assets under management across its cat bond and ILS strategies, Fermat Capital Management continues to be a profoundly influential third-party capital manager within the international reinsurance landscape, underscoring its enduring impact and leadership.
