Private Credit to Drive More Life Insurance Growth: Moody’s (1)

The rise of private credit will continue to benefit US life insurers, whose growing investments in the asset class bolster returns, allowing for more aggressive pricing, according to Moody’s Ratings.

Alternative asset managers, emboldened by the boom, will continue buying life insurers or seek more partnerships with them as they hunt for more capital to feed their dedicated funds, Moody’s analysts wrote in a note Monday.

Life insurers that are owned by asset managers have easier access to their parents’ origination capabilities, lifting investment returns, providing a competitive edge and fueling growth, according to analysts including Manoj Jethani, ...