SS&C Acquires Prime to Enter ILS Market

SS&C Technologies has acquired fund administrator Prime Management, which will provide SS&C with access to the insurance linked securities (ILS) market.

Prime currently services 25 managers, ranging from emerging ones to large institutional managers, with $6 billion in assets under administration (AUA) from its Bermuda and Canadian offices. As a result of the acquisition, SS&C will now be able to administer ILS and provide accounting, investment and compliance services to the funds that invest in them.

“Investors are looking to diversify and are attracted to ILS. The knowledge of the Prime team, attention to customer service, and the addition of dedicated ILS expertise is a strategic fit for SS&C’s fund administration services,” says Bill Stone, chairman and chief executive officer, SS&C Technologies.

“ILS products are here to stay and will gain market share from traditional reinsurance products. 2013 was the most important year in the 15-year history of the product as widespread acceptance and favorable pricing attracted new and expanded relationships. While property/casualty reinsurance has been the dominant product to date, we expect expansion into other lines of (re)insurance over time,” says V.J. Dowling, founder and managing partner of insurance research firm Dowling & Partners Securities.