Funding Agreements: Strategic Capital for a New Insurance Era
Funding Agreements: Strategic Capital for a New Insurance Era
In today’s competitive and capital-intensive insurance landscape, funding agreements—classified under deposit-type contracts—are emerging as a strategic tool for insurers seeking balance sheet strength and long-term financial flexibility. In Conning’s latest Viewpoint, “Funding Agreements: Strategic Capital for a New Insurance Era,” John Rup, Director of Insurance Solutions, explores how insurers can tap into institutional markets to diversify liabilities, enhance asset-liability management, and access scalable, reinvestment-driven capital.
This Viewpoint highlights the structural advantages of funding agreements, including predictable cash flows, limited withdrawal features, and alignment with institutional investor demand. Conning also examines the evolution of Funding Agreement-Backed Securities (FABS), offering insurers a disciplined format for raising capital.
This is where Conning can help.
We work with insurers to evaluate the full spectrum of funding agreement options — from standalone issuance to integrated strategies that support broader enterprise goals. Specifically, we can help:
Across Conning and our affiliates, we offer a wide variety of investment options for collateral and funding proceeds — from public and private credit to structured products and real assets — designed specifically for insurance portfolios. Whether you’re exploring your first issuance or scaling an existing program, we can help you build a funding strategy that is efficient, resilient, and aligned with your long-term goals.
This Viewpoint highlights the structural advantages of funding agreements, including predictable cash flows, limited withdrawal features, and alignment with institutional investor demand. Conning also examines the evolution of Funding Agreement-Backed Securities (FABS), offering insurers a disciplined format for raising capital.
This is where Conning can help.
We work with insurers to evaluate the full spectrum of funding agreement options — from standalone issuance to integrated strategies that support broader enterprise goals. Specifically, we can help:
- Model pro forma cash flows, capital usage, and regulatory/rating impacts
- Analyze ALM and liquidity dynamics across the enterprise
- Support investment collateral selection and reinvestment planning
Across Conning and our affiliates, we offer a wide variety of investment options for collateral and funding proceeds — from public and private credit to structured products and real assets — designed specifically for insurance portfolios. Whether you’re exploring your first issuance or scaling an existing program, we can help you build a funding strategy that is efficient, resilient, and aligned with your long-term goals.
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