About Us

Syndicate Research Limited (SRL) provides comprehensive, independent research and analysis of the Lloyd’s of London insurance market. The company was set up by Robert Stonehewer-Smith in 2014, continuing a business originally set up by him and two colleagues in 1995, with the business being operated within Moody’s Corporation between 1998 and 2014.

The company is committed to providing independent research on all active syndicates trading at Lloyd’s. Income is purely based on research fees. With regularly up-dated counterparty analysis, syndicate performance assessment, continuity opinions and syndicate peer reviews, SRL offers 100% coverage of individual Lloyd’s syndicates as well as the Lloyd’s market as a whole.

SRL has access to a large database of confidential and non-confidential information covering the Lloyd’s market and its syndicates built up over many years. All syndicate research is forwarded to the relevant agency for review for factual inaccuracies or the inadvertent inclusion of confidential information prior to issue.

Clients range from global (Re)insurance Brokers, multi-national (Re)Insurance Companies, Banks and Associations, to individual Lloyd’s corporate members.

Our Experience

The SRL team first issued research on all trading Lloyd’s syndicates in 1996 when the business operated as Syndicate Underwriting Research Limited (SURL). The aim has always been to provide informative, factually accurate, independent research on Lloyd’s and its syndicates that “tells it as it is”.

Recognised by Moody’s Investors Service (Moody’s) as one of the pre-eminent Lloyd’s market research teams: Moody’s acquired the business in 1998 with the business remaining part of Moody’s Corporation until 2014. Prior to Moody’s, SURL provided the research team for Jardine Lloyd’s Advisers and the Anton Jardine members’ agency 1995-1998.

Our Lloyd’s experience encompasses:

• Identification of ceasing P&C Syndicates in 2017-20 downturn; non-aligned capital losses of £258m: Of the 12* P&C syndicates (non-SPA) which ceased during 2017-20, all had negative opinions prior to ceasing (either B- or below SCOs, or the summary was negative).

5 of the syndicates were supported by third-party, non-aligned capital. The cumulative losses that could have been avoided by third party capital in the 3-years prior to the year that the syndicate ceased – if SRL’s negative opinions in the autumn prior to the relevant trading year had led to these syndicates not being supported – were:

Traditional Names losses: £56.4m. All non-aligned capital losses: £257.9m.

* Including 2 deemed mergers where the main underwriters left on merger.

• Specialist research company of choice for Broker Market Security departments: The team has been providing Lloyd’s research to some of the major Lloyd’s brokers for over 25 years.

• Association of Lloyd’s Members: Provided syndicate research for the Association of Lloyd’s Members for over 15 years to 2019.

• Portfolio analysis for £250m portfolio: Research provider of choice to deliver a quarterly board report derived from QMR and business plan data on a £250m portfolio and its underlying syndicate participations.

• Acquisition Due Diligence on a major Lloyd’s business: SRL provided the acquirer with the specialist Lloyd’s syndicate research due diligence report prior to the successful acquisition of a Lloyd’s business writing over £500m.

• COVID Analysis: First independent research entity to state (in July 2020) that Lloyd’s COVID losses were entirely manageable and that Lloyd’s might only record a small loss for the year (actual result -3.4% Net Premium Earned at 31.12.20) following the recovery of the investment markets.

• Recognised for correct assessment of the Impact of the World Trade Center (WTC; 9/11) losses on Lloyd’s: In November 2001, the team correctly highlighted the extent of the pressure on Lloyd’s Financial Strength and the potential impact on solvency following the WTC attacks, forecasting losses of over 20% capacity for the 2000 and 2001 accounts in April 2002 (Lloyd’s forecasts -17% and -14% at the time; actual results on closure -21.5%, -18.6%) but a potential profit of £1bn for 2002 (actual £1.5bn on closure).

Despite pressure to be more negative on Lloyd’s financial position, in March 2002 we stated our view that we believed that the major market players were committed to the market and its franchise, and that it would recapitalise, as proved to be the case.

• 2017 Hurricanes Impact Analysis: Contrary to certain commentators expecting a significant uplift in rates and terms and conditions immediately following the 2017 Hurricanes, SRL’s view (Lloyd’s Monitor September 2017) was that the losses were not, relative to the existing excess capital, material enough to lead to a significant market-wide hardening, which proved to be the case. 

• Lloyd’s Portfolio Structured Bond Methodology: Developed a methodology to rate a proposed structured bond supporting a portfolio of syndicates in 2002.

• Listed company research: Provision of research covering the Lloyd’s listed vehicles for James Capel.

• Syndicate Forecasting: One of the first research teams to forecast syndicate results as part of its overall syndicate monitoring.

• Underwriting Index: Developed an underwriting index to monitor underwriting conditions by line of business prior to the PMD incorporating this within business planning.

Team

Robert Stonehewer-Smith BA (Hons), ACII Director

Robert has over 25 years’ experience as a Lloyd’s analyst, having initially qualified as a Chartered Accountant with Price Waterhouse. He is also ACII qualified.

He worked as both a Lloyd’s broker and a Lloyd’s members’ agent before focusing on research.

In 1995 Robert set up Lloyd’s research company Syndicate Underwriting Research Limited (SURL) together with two colleagues. The company was acquired by Moody’s Investors Services (MIS) in 1998 and the business was subsequently transferred to Moody’s Analytics.

Robert continued to cover the whole Lloyd’s market, and was in sole charge of the entire research portfolio covering all trading syndicates and the whole Lloyd’s market from 2009.

He was responsible for developing the original methodology for the Syndicate Continuity Opinions.

During his time at Lloyd’s he has witnessed Equitas being set up, the significant losses sustained in the late 1990’s and from the World Trade Center attack in 2001, as well as the establishment of the Performance Management Directorate and more profitable results since then.
Robert established Syndicate Research Limited in 2014 on leaving Moody’s.

Mark Hewlett Consultant

Mark has worked in the insurance industry for over 25 years, starting in a Lloyd’s members’ agency. In 1995 he set up Lloyd’s research company, Syndicate Underwriting Research Limited (SURL), of which he was Managing Director.

SURL was later acquired by rating agency Moody’s Investor Services (MIS), with Mark becoming Managing Director, MIS European Insurance for several years before leaving to run his own business in Ireland.

Mark is acting as a consultant to Syndicate Research Limited (SRL) and is involved on SRL’s Continuity Opinion committees.

Dominic Simpson MA (Hons), ACII Consultant

Dominic has over 25 years’ experience as an insurance analyst and is ACII qualified.

Dominic worked as a members’ agent before focusing on research and was the other key individual involved in SURL, acting as Research Director. Following the sale of SURL to Moody’s Investors Service in 1998, Dominic increasingly focused on non-Lloyd’s credits, becoming lead analyst for several large UK and European groups, including Swiss Re, Munich Re, SCOR, AXA and Lancashire.

Dominic is acting as a consultant to Syndicate Research Limited (SRL) and is involved on SRL’s Continuity Opinion committees.