Blue Owl plans major insurance push

Blue Owl Capital is preparing to significantly expand its presence in the insurance market as the alternative asset manager looks to secure more long-term capital and broaden its investment platform, according to a report by the Financial Times.

Co-chief executive Doug Ostrover said the firm intends to make a “big push” into insurance, arguing that a larger pool of insurance assets would allow Blue Owl to develop new investment solutions.

Unlike some larger private capital managers, Blue Owl does not currently plan to acquire an insurer outright. Apollo acquired Athene, while KKR has also bought an insurance business, but Ostrover said Blue Owl is instead pursuing what he described as a “balance-sheet-light” strategy.

Blue Owl already manages billions of dollars of insurance assets for Kuvare, in which it holds a minority stake, but its insurance platform remains considerably smaller than those of larger rivals such as Blackstone. The firm has also hired insurance industry executive Deva Mishra to help develop its strategy.