Martello Re Limited, the newly created life and annuity reinsurer based in Bermuda, has completed its first reinsurance transaction less than two months after launching.

The announced transaction covers $14 billion of in-force fixed annuity and fixed indexed annuity policies issued by a MassMutual subsidiary which will continue to service all the policies reinsured.

"The close of this transaction marks a strategic and innovative opportunity for MassMutual to more efficiently manage risk for the benefit of our policy owners and customers while also supporting our future growth ambitions," said Elizabeth Ward, chief financial officer, MassMutual.

"We look forward to working closely with Martello Re and its experienced leadership team in the years ahead."

The company said that the transaction demonstrates Martello Re's ability to provide customised solutions to help US insurers achieve their strategic objectives.

With the close of this transaction, Martello Re said, it is now one of the largest and most well-capitalised life and annuity reinsurers in Bermuda.

Along with the closing of this initial transaction, the company has appointed seasoned leaders in key positions across the company.

Jeremy Coquinco joins Martello Re as head of investment strategy, working closely with the company’s CEO and investment managers to optimise risk-adjusted returns on its investment portfolios.

Justin Mosbo has been hired as chief actuary, responsible for building out Martello Re's actuarial function and have oversight of pricing, valuation, asset-liability management and capital management.

Alana Rathbun joins the company as chief risk officer, responsible for overall enterprise risk management, corporate governance and regulator relations.

Gregory Tyers has been hired as chief financial officer. He will oversee accounting policy, financial reporting and treasury functions.

Dennis Ho, CEO, Martello Re, said: "This is an exciting time for Martello Re. We are pleased to close our initial transaction and thrilled to have such a talented and experienced group of leaders join our company.

"We look forward to continuing the build-out of our platform in support of Martello Re's mission to help insurers grow their businesses profitably and consistently, while ensuring they are well positioned to deliver on all of their promises to policyholders."

Martello Re is a Class E life and annuity reinsurer that provides reinsurance solutions to top US writers of asset-intensive life and annuity products.

The company, with initial equity of $1.65 billion, was launched with the financial support of Massachusetts Mutual Life Insurance Company, Centerbridge Partners, Brown Brothers Harriman, and a group of institutional investors and family offices, including Hudson Structured Capital Management.