CVC will manage insurance-focused private credit mandates for American International Group (AIG) under a new strategic partnership between the two companies.
The partnership will include the establishment of large-scale separately managed accounts (SMAs) across CVC’s credit strategies, as well as the launch of CVC’s private equity secondaries evergreen platform, with AIG acting as a cornerstone investor.
AIG intends to allocate up to $2bn (£1.5bn) to SMAs and funds managed by CVC Credit, with an initial $1bn expected to be deployed through 2026.
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“Our partnership with AIG is a powerful endorsement of CVC’s ability to serve the evolving needs of global insurance institutions at scale,” said Rob Lucas, chief executive of private markets manager CVC. “The SMA component demonstrates the depth of our credit platform and our capability to deliver bespoke, capital-efficient solutions for insurers worldwide.”
As part of the private equity secondaries evergreen platform, AIG will contribute up to $1.5bn from its existing private equity portfolio.
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“CVC is a highly respected, world-class global investment manager with deep capabilities across credit and private markets,” said Peter Zaffino, chairman and chief executive of AIG. “This partnership marks our first collaboration with a European headquartered asset manager and supports AIG’s strategy of actively managing our investment portfolio while working with best-in-class partners to access differentiated opportunities.”
The deal comes as insurers have doubled down on private credit, while asset managers are positioning themselves as insurance solutions providers.
