NEW YORK, Aug 15 (Reuters) - Reinsurer Beechwood Re said in a statement Monday that it was in the process of severing ties to Platinum Partners and that debt linked to the hedge fund manager and its holdings were small.
“There has been no apparent negative impact to these loans that represent a small portion of our portfolio; and we continue to be confident in the strong security, strict covenants and over-collateralization we have in place to protect against future potential downside risk,” Beechwood said.
Beechwood Re has been managing $590 million in assets for CNO Financial, which has come under pressure over Beechwood’s ties to Platinum. New York-based investment firm Platinum is being investigated by the Department of Justice and the U.S. Securities and Exchange Commission. (Reporting by Lawrence Delevingne; Editing by Chizu Nomiyama)