Manulife CQS Raises $1.1 Billion for Synthetic-Risk Transfers

Manulife’s credit arm CQS Investment Management has raised $1.1 billion to invest in synthetic-risk transfers, according to a statement, the latest example of private credit funds drumming up cash to tap into banks’ assets.

The money is for its Manulife CQS Regulatory Capital Relief III Fund as well as some separately managed accounts, according to a statement. Manulife CQS has been investing, since 2014, in regulatory capital relief trades, also sometimes known as synthetic or significant risk transfers.