Life settlements are currently yielding in the range of 12 – 18% IRR in a US dollar asset.

For a safe and secure asset back by major US life insurers this yield is very very good.

Yields are a blunt instrument to assess this investment and the potential exists to make windfall gains. The methodologies and life expectancy assessments are now of investment grade quality unlike those used by the industry till around 2009.

In the past losses have occurred because of poorly structured funds, that have not provisioned adequately for premiums.

Improved underwriting and experience now lead to more certain outcomes.