GANADO Advocates retained as lawyers on Exchange Re structure

The first Reinsurance Special Purpose Vehicle (“RSPV”) Securitisation Cell Company (“SCC”) has been approved by the Malta Financial Services Authority, and was successfully launched at the SIFMA Insurance and Risk Linked Securities Conference, which took place in New York between the 23 and the 24 February 2016. The RSPV SCC shall be managed by USA Risk Group. The development was also reported by Artemis.bm. Read the article by clicking here.

This development makes Malta one of the first European Union jurisdictions to make cell structures available for insurance linked securities transactions, and comes soon after the recent introduction of the Securitisation Cell Companies Regulations (Subsidiary Legislation 386.16, Laws of Malta.), which provided the legal framework for the establishment of Maltese SCC structures.

The main advantage of SCCs structures is the creation of segregated cells, resulting in a complete segregation of assets and liabilities between the different cells.