BlackRock Inc., the world’s largest money manager, and Evan Greenberg’s ACE Ltd. are forming a reinsurance venture that is seeking to raise $800 million to $1.3 billion.
The business is named ABR Reinsurance Capital Holdings Ltd. and is based in Bermuda, according to a regulatory filing Thursday from the company.
Money managers are pushing into reinsurance to expand the pool of funds that they oversee and to diversify into investments that aren’t correlated with stock or bond markets. While primary carriers often turn to reinsurers to share the largest risks, Greenberg has said Wall Street offers an alternative partner.
Citigroup Inc., Deutsche Bank AG and Morgan Stanley are listed as banks for the offering. Jeffrey Zack, a spokesman for ACE, declined to comment. Brian Beades, a spokesman for New York-based BlackRock, didn’t immediately return a call
BlackRock has handled investments for Zurich-based ACE subsidiaries. The money manager oversaw about 22 percent of the insurer’s investment assets, according to a regulatory filing last year.