Company: MHLA
Filing Date: 2025-03-10
Form Type: 10-K
Source: 0001412100-25-000011
Chunk: 138

Company: Maiden Holdings, Ltd.
Filing Date: 2025-03-10
Form: 10-K
Item: Item 7
Chunk 138
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 receivable from AmTrust earned an annual interest rate of 3.5% for the years ended December 31, 2024 and 2023, respectively. At December 31, 2024, the funds withheld balance with AmTrust decreased to $0.0 million  compared to a balance of $128.5 million held at December 31, 2023; and

▪Investment expenses increased by $1.8 million for the year ended December 31, 2024 compared to 2023 driven by $1.6 million of fees incurred related to sales and redemptions in our alternative investment portfolio in the third quarter of 2024.

Average aggregate fixed income assets at December 31, 2024 decreased by 33.4% compared to December 31, 2023 due to the continued run-off of reinsurance liabilities previously written on prospective risks through the funds withheld receivable. For both respective years, we experienced negative operating cash flows due to settlement of claim payments to AmTrust as we run-off existing reinsurance liabilities in the AmTrust Reinsurance segment. Floating rate investments comprise 51.1% of our fixed income investments at December 31, 2024 compared to 40.8% at December 31, 2023.

The following table details our average aggregate fixed income assets (at cost) and investment book yield for the years ended December 31, 2024 and 2023:

For the Year Ended December 31,20242023($ in thousands)Average aggregate fixed income assets, at cost (1)$532,661$799,812Annualized investment book yield4.5 %4.1 %

(1)Fixed income assets include AFS securities, cash and restricted cash, funds held receivable, and loan to related party. These amounts are an average of the amounts disclosed in our quarterly U.S. GAAP consolidated financial statements.

Net Realized and Unrealized Investment Gains

Net realized and unrealized investment gains of $5.6 million were recognized for the year ended December 31, 2024, compared to net realized and unrealized investment gains of $7.8 million in 2023. Total net realized and unrealized investment gains for the years ended December 31, 2024 and 2023 are summarized in the table below by investment category: 

For the Year Ended December 31,20242023Net realized gains (losses):($ in thousands)Fixed income assets