Bermudian-based Cedar Trace Group is teaming up with Sage Advisory Services, a US-headquartered investment management firm, to launch a series of innovative investment products blending insurance-linked securities and credit strategies.

Announced on June 30, the collaboration aims to create diversified, yield-enhancing portfolios for institutional investors, family offices and asset allocators by combining Cedar Trace’s expertise in catastrophe bonds and insurance and reinsurance risk transfer with Sage’s strength in fixed-income and credit management.

“We are thrilled to partner with Sage,” said Lawrence Minicone, chief executive of Cedar Trace, which was recently rebranded from Mereo Advisors Group. “By combining our ILS capabilities with Sage’s credit and fixed-income proficiency, we are aiming to deliver enhancing and diversifying risk-adjusted returns to investors.”

Sage Advisory, based in Austin, Texas, has nearly 30 years of experience managing fixed-income investments. Robert Smith, the company’s president, noted the significance of expanding into the ILS space via Bermuda.

“Sage’s nearly three decades of fixed income expertise, paired with Cedar Trace’s unparalleled ILS capabilities, will create a powerful solution for investors seeking stability and enhanced returns,” he said.

The new products will target lower-correlated returns, tapping into Bermuda’s global position as a leader in insurance-linked securities and alternative risk financing. The partnership underscores growing interest among asset managers in cross-sector investment strategies that blend credit and insurance risk to meet evolving market demand.