Abacus Global Management (ABL) 15th Annual LD Micro Invitational 2025 summary

Business overview and market position

• Specializes in lifespan investments and longevity data, focusing on life settlements.

• Operates as the only public alternative asset manager in this niche, with a leadership position in a market it helped create.

• Life settlements are uncorrelated assets, offering diversification and stable returns.

• Market is significant and growing, with increasing institutional participation and global investor interest.

• Licensed in all 50 U.S. states, with strong regulatory support due to consumer-friendly offerings.

Financial performance and capital deployment

• Went public via SPAC in 2023, followed by two equity raises and a debt deal in 2024, raising about $180 million at $8/share.

• Deployed capital primarily into acquiring life insurance policies and expanding the origination engine.

• Achieved 64% organic revenue growth and expanded EBITDA and margins, with a $500 million balance sheet.

• Closed two acquisitions in December, immediately impacting earnings and margins.

• Deploys about $125 million per quarter into policy purchases and market-making.

Market dynamics and business model

• Core business involves purchasing life insurance policies from individuals, servicing premiums, and placing policies with institutional investors.

• Pays policy sellers an average of $0.201 per face value dollar, targeting individuals with a seven-year life expectancy.

• Sits on policies for about six months, pooling and selling them to funds or underwriters.

• Holds about 25% market share in the $4.5 billion annual life settlement market, with potential for significant growth.

• Growing liquidity and secondary market activity as funds seek to liquidate portfolios.