Content thumbnail Vesttoo
AI Content Chat (Beta) logo


Overview Deck

VESTTOO SPECIALIZES IN RISK MODELING FOR THE LIFE & NON-LIFE INSURANCE MARKETS. WE PROVIDE ALTERNATIVE RISK HEDGING AND TRANSFER THROUGH THE CAPITAL MARKETS, COMPLEMENTING TRADITIONAL REINSURANCE Our Vision - to create a world where insurance and the capital markets are fused and globally accessible, by translating actuarial risks to financial risks, via the capital markets.

THE REINSURANCE FUNDING GAP $60-80Tr Longevity Risk 5% YoY growth Traditional reinsurance has only $50Tr 1% market penetration, Lapse Risk lacking the capacity to 3% YoY growth provide solvency relief and liability hedging $10Tr for the immense Excess of Loss market needs, leaving Motor Claims trillions in unfunded 3% YoY growth liabilities $120Tr Structured Settlements 4% YoY growth Proprietary & Confidential

VESTTOO’S SECRET SAUCE Vesttoo’s offering is based on proprietary AI-based algorithms - the brains behind our cutting-edge solution. These algorithms are responsible for automated and streamlined risk modeling, creating an efficient, cost effective and broadly accessible risk transfer solution - an effective alternative to traditional reinsurance Saves time and money, no need for expert Automated & Streamlined judgment, positive regulatory view Actuarial Processes Per-Policy, Bottom-up Robust & Accurate Risk Models Application Accurate & Enhanced Embedded tail risk, minimal basis risk > allows Risk Modeling shorter deal times and more attractive pricing Models are easily adjusted and applied to different Flexible Solution risk types and deal sizes Fast Time-to-Market Rapidly adapted to other deals with smart contracts, end-to-end solution Proprietary & Confidential

INVESTOR MOTIVATION Investors can benefit from uncorrelated, attractive risk/return investments in comparison to other fixed-income bonds and dividend stocks Stable, fixed-interest Non-correlated to Attractive risk/reward compared to income macroeconomic risk similar investments Diversification opportunity Increased market capacity for portfolios (long-term deals) Proprietary & Confidential

INSURANCE-LINKED PROGRAM: BB SPREAD, AA UNCORRELATED RISK Powerful Portfolio Dynamics Participants pledge collateral that earns additional net Powerful Portfolio spread of 1% to 1.5%, long-term, sustainable alpha Dynamics Participants hedge short & medium term P&C and Life risks by using existing bond inventory The Vesttoo Insurance-Linked Program (ILP) holds selective uncorrelated deals, therefore has limited risk Since risks are uncorrelated to equities and credit there is Risk Capital minimal impact on participants’ risk budgets No cash required Practically no tail risk (prob. Of 10% loss < 0.5%) # of Deals Proprietary & Confidential

UNLOCKING INSURANCE’S DIGITAL FUTURE Vesttoo is building an electronic Marketplace to improve the efficiency in the market and the liquidity of insurance products to the public. The Marketplace will attract a wide investor base and can be easily used by capital market investors, rapidly matching risk and capital for efficient trading of ILS’s We currently have a pricing wizard implemented for initial indicative pricing, as well as a live dashboard for our customers, on which they can track and manage their portfolios in real-time Proprietary & Confidential

Thank you!