Experience
Prior to Q4 2008 the investor market was dominated by large institutions with structured finance strategies.
The team’s transactional experience commenced in 2004 with the design, management, and servicing of asset origination programs as well as the creation of insurance platforms
The team has deep experience in creating and managing insurance platforms, life asset funds, and longevity- linked transactions.
$830M
2004-2005
Program structurer and JV partner in $830M insurance acquisition program
$250M
2005
Program structurer and JV partner in $250M insurance acquisition program
$4.4M
2005
Portfolio Manager and JV partner in $4.4B insurance acquisition program
$350M
2005-2006
Joint venture partner in $350M insurance acquisition program
$3.6B
2006-2008
Program structurer of $3.6B insurance financing program
$1B
2007-2010
Program servicer and manager of $1B SLS platform
$3B
2011-2022
Creation of insurance platform and management of $3.0B+ of life assets
$50M
2020-2022
Creation of $50M open ended life settlement fund
NexPoint Insurance Solutions
Institutional Longevity Products and Solutions
NexPoint Insurance Solutions
NexPoint Insurance Solutions, L.P. (“NIS”) is a registered investment advisor managing approximately $150mm in unique alternative investment strategies for institutional clients through tax efficient products.
25+ Years
NIS is in the “Nex” Family of Companies. Our investment activities are a part of a sophisticated, multibillion-dollar platform. We draw on investment partners with 25+ years of experience managing a range of investment-grade, non-investment grade, structured products, and alternative assets for a diverse investor base.
NexAnnuity Holdings, Inc.
NexAnnuity Overview
BASIS FOR NEXANNUITY
NexAnnuity was created to deliver annuity and insurance products for the modern retirement landscape.
The business is underpinned by several secular trends that increase the need for effective longevity linked products.
BUSINESS LAUNCH
We launched NexAnnuity Holdings, Inc. to serve as the foundation for the insurance business and formed a group of subsidiaries via acquisitions and strategic partnerships to carry out operations.
APPROACH TO RETIREMENT
We draw on an integrated affiliate network to support the development and management of insurance products.
Our approach seeks to apply the expertise and resources of NexAnnuity’s affiliate network to insurance offerings, creating efficiencies that benefit policyholders and investors alike.
Spiritus Life, Inc.
At Spiritus, our goal is to provide the best experience for our clients, We aim to be transparent throughout the entirety of the process so our clients feel heard, valued and receive the maximum value for their assets. We are committed to keeping the process simple and honest ensuring our clients’ interests are at the core of every decision.
Mindful Approach
We are committed to our clients and their desired financial outcomes. At every step of the process, are client’s interests remain top-of-mind and are at the center of everything we do.
Proven Outcomes
Comprised of a team of industry pioneers and over 20 years of life settlement experience, we have learned the most effective and efficient ways to navigate the life settlement industry. Because of our tenured history, we can achieve the best outcomes for our clients.
Confidence in Process
Navigating the life settlement process can be difficult. At Spiritus, we make ourselves available to our clients to answer any and all questions so they feel confident in our team, the process, and the services we provide.
Life Settlement Investment Rationale
Life Insurance is a product for retail customers and is sold in a competitive marketplace
The brokerage model allows brokers to source the cheapest product from a variety of issuers, creating significant competition
As a result of this competitive market and the retail nature of the product, educated investors can exploit the resulting pricing inefficiencies inherent in the product
Lapse Support |
In order to offer more competitive pricing and make insurance as accessible as possible, insurance companies can price products assuming a given ratio of policy holders will lapse the coverage before maturity |
Competitive Pricing |
Insurance companies often price aggressively in order to gain market share in a particular segment. In other cases, companies can make pricing errors in given segments that the brokerage model tends to exploit |
Underwriting Support |
Historically insurance companies have offered their brokers special underwriting. Underwriting concessions and “Table-Shaving” allow placement of superior product on sub-standard risks |
Health Changes |
Life insurance companies do not differentiate between risks once a policy is issued. However, investors can focus selection on only those risks whose health has deteriorated substantially since issue |
Underwriting Arbitrage |
The brokerage model also leads to concentration of risk by insurance companies on impairments or factors where their underwriting may be more relaxed than their competitors |
Enhanced Credit |
Life insurance claims represent the senior most position in the capital structure of an insurance company and regulators govern both the amount of reserves they must make for claims paying and the nature and risk of investments they can make |
Overview of Life Settlement Risks
The key to successful investments is a deep understanding of the underlying asset and its inherent risks. Life Settlements expose the investor to a variety of risks, which require consideration and understanding when selecting polices for investments.
RISK |
DESCRIPTION |
| Specific Longevity Risk | The risk that any one individual will live longer than expected and its impact on portfolio return |
| Systemic Longevity Risk | The risk that longevity risk is misestimated on a systemic, portfolio basis |
| Carrier Credit Risk | The risk that the issuing insurance company will be unable to pay the death benefit due to insolvency |
| Legal Risk | The risk that the investor will not receive the death benefit due to a legal challenge from either the issuing insurance company or the family or estate of the insured |
| Cost of Insurance Risk | The risk that the issuing insurance company will increase the cost of insurance and therefore increasing the premiums required to keep the policy in force |
| Adverse Selection Risk | The risk that the investor is delivered poor assets by market participants exploiting weaknesses in investment criteria or asymmetric availability of information |
Team
Andrew “Andy” Williams
MANAGING DIRECTOR
Andy Williams is the CEO of Eagle Equity Advisors, LLC (“Eagle”). Eagle is a portfolio company affiliated with NexPoint Advisors, L.P. (“NexPoint”), a $16.8 billion alternative investment advisor based in Dallas, Texas. Eagle assists with asset management and advisory functions for insurance and longevity-linked assets within the firm. Through Eagle, Mr. Williams advises the insurance solutions platform of NexPoint, which includes an operating insurance company, multiple life settlement funds, distribution, and various other insurance verticals including NexPoint Insurance Solutions, L.P., a SEC-registered investment advisory firm, and Spiritus Life, Inc., a regulated life settlement provider.
Prior to Eagle, Mr. Williams was the Managing Director of Specialty Finance for Highland Capital Management, a $13.9bn Private Equity Fund that managed and/or owned over $2bn of life settlement assets. Mr. Williams oversaw all insurance derivative products for the firm which has included creation of a life insurance platform as well as life settlement funds and offerings. A long time financial and insurance executive, Andy has been responsible for creating insurance products and longevity platforms for investment banks, including Deutsche Bank and CSFB, asset managers, family offices, and funds across multiple disciplines including: life settlements, commercial insurance, life and annuity products, as well as other insurance derivative products. Themis Capital Advisors, of which he is a founder and co-owner serves as advisor to a large longevity platform. Additionally, his Private Equity and Family Office arms have purchased, co-own, and managed “life assets” totaling over $500M. Through his career he has aggregated or managed over $6B of mortality products.
Casey Revkin
SENIOR ANALYST
Ms. Revkin is a quantitative analyst and 24-year veteran of the life insurance services industry. Casey brings a high level of expertise, energy, and quantitative rigor to any project. As a project manager and quantitative analyst specializing in dynamic projection models, she has worked with some of the largest law firms McDermott Will & Emery and Clifford Chance and financial institutions including Deutsche Bank, Credit Suisse, JP Morgan, HSBC. Prior to joining Spiritus Settlements, Casey, spent 10 years as an life policy analyst at Policy Guard, one of a select few licensed Life and Disability analyst firms in California. Previously, she built customized models allowing advisors to quantify the value of their planning and fund managers to quickly adjust the timing and amounts of investments, capital realization and distributions. On one project, she led the analysis and execution of a $3 billion international private placement. Casey began her career after graduating from Reed College with B.A. in mathematics.