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DATE
Friday, Nov. 6, 2026
CALL PARTICIPANTS
- President and Chief Executive Officer - Dominic John Frederico
- Chief Operating Officer - Robert Adam Bailenson
- Chief Financial Officer - Benjamin Rosenblum
- Senior Managing Director, Investor Relations and Corporate Communications - Robert S. Tucker
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TAKEAWAYS
- Adjusted Operating Income -- $86 million or $1.94 per share, compared to $124 million or $2.57 per share in the third quarter of 2025.
- Net Earned Premiums -- $114 million, representing an increase from $98 million in the prior-year period driven by growth in shorter duration strategies and higher scheduled public finance premiums.
- Adjusted Book Value Per Share -- $192.60 at the end of the third quarter, increasing from $186.43 at year-end 2025 due to new business production and the accretive effect of share repurchases.
- Nine-Month PVP -- $280 million through Sept. 30, representing a 44% increase over the $194 million generated in the first nine months of 2025.
- Global Structured Finance PVP -- $50 million in the first nine months, more than doubling the $23 million reported in the same period last year due to increased demand in fund finance.
- U.S. Public Finance PVP -- $199 million in the first nine months, growing 31% year over year as the company insured $15.6 billion of aggregate par across primary and secondary markets.
- Full-Year PVP Guidance -- $400 million or higher for 2026, supported by a strong fourth-quarter pipeline and potential large transactions.
- BrightLine Restructuring -- $490 million of total new capital provided in the agreement, with the company committing $70 million of the $140 million in senior debt.
- Economic Loss Development -- $27 million benefit in the third quarter, primarily reflecting improved liquidity and revenue growth at BrightLine.
- Loss Expense -- $2 million for the quarter, compared to a $31 million benefit in the prior year which was driven by recoveries on U.S. RMBS exposures.
- Alternative Investment Gains -- $21 million for the quarter, reflecting lower gains across asset classes compared to $32 million in the third quarter of 2025.
- Investment IRR -- 11.5% inception-to-date on the alternative portfolio, which exceeds the 4.5% three-year average yield in the fixed maturity portfolio.
- Common Share Repurchases -- $10 million used to buy back 123,000 shares at an average price of $83.78 per share during the third quarter.
- Dividends -- $17 million returned to shareholders in the third quarter of 2026.
- Holding Company Liquidity -- $144 million at the end of the quarter, including $66 million held at the parent company level.
- Annuity Reinsurance Reserves -- $459 million for pension risk transfer business following the acquisition and renaming of Warwick Re.
- MYGA Account Value -- $248 million in the newly established annuity reinsurance segment, supported by a $267 million funds withheld receivable.
- Secondary Market Par -- $1 billion insured through the first nine months of the year, contributing to total U.S. public finance volume.
- Large Transaction Volume -- 23 transactions of $100 million or more insured in the first nine months, reflecting market recognition of the company's capital base.
- Scheduled Net Earned Premiums -- $97 million, increasing from $93 million in the prior year due to the expansion of the fund finance business.
- Asset Management Adjusted Operating Income -- $2 million for the quarter, including the company's ownership interest in Sound Point Capital Management.
SUMMARY
Assured Guaranty Ltd. (NYSE:AGO) reported record per-share valuations for adjusted operating shareholders' equity and adjusted book value, driven by strong new business production and strategic expansion into shorter duration financial products. Management stated that new business production generated $280 million of PVP in the first nine months, with global structured finance PVP more than doubling year over year. The company reached a restructuring agreement for BrightLine, which management indicated should improve liquidity and position the rail system for long-term success through reduced debt service. Additionally, the company is diversifying revenue through its new annuity reinsurance segment and fund finance business, both of which allow for quicker premium earnings and more efficient capital reuse.
- CEO Frederico stated, "These results reflect the success of our growth strategy, across the financial guaranty business."
- Management is shifting toward shorter duration business in structured finance, which grew to 27% to 30% of the total year-to-date business mix compared to 5% two years ago.
- COO Bailenson noted that new counterparty relationships in Europe and Australia are leading to repeatable flow business with shorter lives of a few months to two years.
- CFO Rosenblum indicated the company is pursuing synthetic capital opportunities, including reinsurance, to improve the efficiency and cost of capital deployment.
- The company maintains a significant capital buffer to ensure stable credit ratings, which was confirmed through affirmations from all three major rating agencies at year-end.
- Management expects the earned premium from structured finance to have a quicker impact on return on equity than traditional municipal business.
INDUSTRY GLOSSARY
- ABV (Adjusted Book Value): A non-GAAP measure used to estimate the intrinsic value of the company by including in-force premiums and revenues net of expected losses.
- BrightLine: A passenger rail system in Florida that recently underwent a financial restructuring agreement with Assured Guaranty.
- CLO (Collateralized Loan Obligation): A single security backed by a pool of debt, often corporate loans.
- Fund Finance: Lending or credit enhancement provided to investment funds, often with shorter durations than municipal bonds.
- GWP (Gross Written Premiums): The total amount of premiums written by an insurer before outward reinsurance.
- MYGA (Multiyear Guaranteed Annuity): A type of fixed annuity that provides a guaranteed interest rate for a specific period.
- PRT (Pension Risk Transfer): A transaction where an employer transfers some or all of the risks of a pension plan to an insurance company.
- PVP (Present Value of New Business Production): A non-GAAP measure of the value of new business that includes upfront premiums and the present value of future installment premiums.
- RMBS (Residential Mortgage-Backed Securities): Debt obligations that represent claims to the cash flows from pools of residential mortgage loans.
Full Conference Call Transcript
Operator: Good morning, and welcome to the Assured Guaranty Limited Third Quarter 26 Earnings Conference Call. My name is Kelsey, and I will be the operator for today's call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing *0 on your telephone keypad. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press *1 on your telephone keypad. To withdraw your question, please press *1 again. Please note that this event is being recorded. I would now like to turn the conference over to our host, Robert S. Tucker, senior managing director, investor relations and corporate communications. Please go ahead.
Robert S. Tucker: Thank you, operator, and thank you all for joining Assured Guaranty for our third quarter 2026 financial results conference call. Today's presentation is made pursuant to the Safe Harbor provision of the Private Securities Litigation Reform Act of 2000. The presentation and today's discussion may contain forward-looking statements about our new business and credit outlooks. Including, but not limited to, estimates, expectation, or ranges regarding future PVP or other new business production, market conditions, credit spreads, financial ratings, loss reserves, financial results, or other items that may affect our future results. These statements are subject to change due to new information or future events, and the actual results may differ from those expressed or implied in these statements.
Due to a number of risks and uncertainties, some of which are out of our control. Therefore, you should not place undue reliance on them as we do not undertake any obligation to publicly update or revise them including any estimates, expectations, or ranges regarding future PVP or other new business production, except as required by law. These forward-looking statements apply as of today and you should not rely on them as representing our views in the future. Undertake no obligation to update these statements after this call.
Please refer to our recent SEC filings for a discussion of risk factors that may cause actual results to differ materially from those expressed in our forward-looking statements and the Investor Information section of our website for our most recent presentations. This presentation and today's discussion also includes reference to non GAAP financial measures. We present the GAAP financial measures most directly comparable to the non GAAP financial measures referenced in this presentation along with a reconciliation between such GAAP and non GAAP financial measures our financial supplement and equity investor presentation which are on our website at assuredguaranty.com.
Turning to the presentation, our speakers today are Dominic John Frederico, President and Chief Executive Officer of Assured Guaranty Limited; Robert Adam Bailenson, our Chief Operating Officer; and Benjamin Rosenblum, our chief financial officer. After their remarks, we will open the call to your questions. As the webcast is not enabled for Q&A, please dial into the call if you would like to ask a question. I will now turn the call over to Dominic.
Dominic John Frederico: Thank you, Robert, and welcome to everyone on today's call. Through the first 9 months of 2026, our key valuation metrics adjusted operating shareholders' equity, adjusted book value per share once again reached record highs. New business production was strong generating $280 million of PVP in the first 9 months. PVP increased in all 3 of our financial guaranty business lines. And global structured finance PVP more than doubled year over year. These results reflect the success of our growth strategy, across the financial guaranty business. Robert will discuss our production in more detail in a moment. During the third quarter, we also negotiated a restructuring agreement for BrightLine. And we are pleased with the outcome.
As outlined in our press release, once BrightLine Florida Holding and its affiliates exit bankruptcy, agreement provides for a total of $490 million of new OpCo capital, which includes 350 million of junior debt a $140 million of senior debt, of which Assured Guaranty has committed to provide $70 million. Assured Guaranty's 51% of the senior revenue bonds and therefore holds and will continue to hold after the issuance of the new debt the controlling voting position with respect to the bonds. We are also pleased that Assured Life Re is progressing on its new business opportunities especially considering that these deals can have a somewhat long gestation period.
We look forward to having additional information for you in the near term. We remain focused on opportunities that align with Assured Guaranty's core competencies while offering attractive returns and capital efficient growth. We see significant opportunities for future growth and greater revenue diversification along with our new annuity reinsurance business we remain focused on growing our core financial guaranty business in the US and non US markets. Including Europe and the Asia Pacific region. Within structured finance, fund finance is 1 of the areas we continue to see strong growth and future opportunities. Looking forward, we will maintain disciplined underwriting, and risk management to protect our policyholders and the counterparties whose capital we help optimize.
We will continue to pursue our traditional business thoughtfully and strategically. We will also focus on new business opportunities and ways to further optimize our capital structure. This strategy positions us to maximize the value of our guarantee for issuers and investors while also maximizing long term shareholder value. I will now turn the call over to Robert for more detail on the production results.
Robert Adam Bailenson: Thank you, Dominic, and good morning, everyone. Assured Guaranty closed $280 million of PBP in the first 9 months of 2026. That is a 44% increase from a $194 million in the first 9 months of 2025. And only $6 million less than our total PVP for all of 2025. PVP increased in all 3 of our financial guarantee businesses. 31% in US public finance, 63% in non-US public finance, and 117% in global structured finance. As Dominic noted, these results reflect the strength of our new business strategy and our multipronged approach to applying our financial guaranty products globally.
In US public finance, we insured $15.6 million of aggregate par across the primary and secondary markets in the first 9 months of 2026. Generating $199 million of PVP. Highlights of the $15.6 billion of US public finance par included. $1.5 billion of taxable military housing revenue bonds for Hampton Roads, in the third quarter.
Of that, $1 billion had an underlying double a rating and $322 million was a rated. $636 million for the city of Houston, Texas hotel tax, and $330 million in student housing revenue bonds for the Kentucky Bond Development Corporation both earlier in the year. $285 million of port revenue bonds for the municipality of Anchorage, Alaska in the third quarter and $1 billion of secondary market par through September. We guaranteed 23 transactions using $100 million or more of our insurance in the first 9 months. Market continues to recognize the size of our capital base and the strength of our value proposition on these larger transactions.
We also insured approximately $5.1 billion of par on credits rated double a or higher by S&P and or Moody's. This shows that we can add meaningful value even to highly rated bonds. Turning to global structured finance, we are very pleased with PVP of $50 million split evenly between US and non-US structured finance. That compares with $23 million in the first 9 months of 2025. These results came primarily from fund finance, with financial guarantees for life insurance capital management and a commercial real estate balloon loan guarantee. We continue to actively develop our fund finance business.
As I have explained on previous calls, these transactions are often repeatable flow business with relatively short lives, from a few months to just over 2 years. As a result, we earn premiums considerably faster and can reuse the capital more quickly. Ben will discuss the earnings impact of the shorter duration business in a few minutes. Additionally, we expect many of these transactions to renew at maturity. In non-US public finance, PVP was $31 million for the first 9 months of 2026. Compared with $19 million for the same period in 2025. In the third quarter, results included a primary market European toll road transaction.
Earlier in the year, they included 2 regulator energy transactions in Spain, and a primary social housing transaction in France. On the toll road deal, Assured Guaranty Europe guaranteed €200 million as part of a larger financing to refinance the A28 toll road in France. We expect to finish the year with strong financial guarantee production. We are off to a good start in the fourth quarter. We have a strong pipeline for the rest of 2026. Expect to deliver more than $400 million of financial guaranty PVP for full year 2026. Several larger transactions could raise that total further depending on their timing, and execution. Looking ahead to 2027, we are optimistic about our financial guaranty new business opportunities.
As part of our strategy to grow globally, including in Europe, and the Asia Pacific region, we continue to expand how our products are used. Grow our geographic footprint, and add or expand counterparty relationships. At the same time, we continue to create material value for issuers and investors. in the US municipal and other markets. I will now turn the call over to Benjamin to discuss our financial results.
Benjamin Rosenblum: Thank you, Dominic and Robert, and good morning. I am pleased to report third quarter 2026 adjusted operating income of $86 million or $1.94 per share. This compares to adjusted operating income of $124 million or $2.57 per share in the third quarter of 2025. Last year's results included a significant benefit due to increased recovery assumptions on US RMBS exposures which was the primary driver of the $30 million benefit in loss expense. This compares to a $2 million loss expense in third quarter of this year. Economic loss development, which unlike loss expense, ignores the impact of unearned premiums, was a benefit of $27 million in the third quarter of 2026.
And is net of a $16 million loss attributed to updating discount rates. The largest component of the positive economic loss development was BrightLine, which achieved improved liquidity from the settlement we reached. Additionally, Brightline has continued to experience revenue growth, which along with its improved liquidity position should put the train system on the path to success. Net earned premiums and credit derivative revenues increased from $98 million in the third quarter of last year to $114 million in the third quarter of this year.
In addition to higher refundings, scheduled net earned premiums also increased mainly due to the continued growth in shorter duration strategies like fund finance, as well as the higher schedule public finance net earned premiums. Alternative investments generated $21 million in gains in the third quarter of this year compared to $32 million in the third quarter of 2025, reflecting lower gains across several asset classes. We have an inception to date IRR of approximately 11.5% on the alternative investment portfolio, which is significantly higher than the 3 year average pretax yield in our fixed maturity portfolio of 4.5%.
As always, we continuously evaluate a range of capital deployment opportunities and allocate capital to various strategies that may include, supporting growth in our financial guarantee business, growing our nascent life and annuity platform, helping to grow Sound Point Capital Management. In addition, we are also pursuing synthetic capital opportunities including reinsurance to further improve the efficiency and cost at which we can deploy capital. We will update you on that in the fourth quarter. In the third quarter of 2026, we repurchased 123 thousand shares for $10 million at an average price of $83.78 per share and returned $17 million in dividends to our shareholders.
Our holding company liquidity is currently approximately $144 million of which $66 million is at AGL. At the end of the third quarter of 2026, we had again reached record per share valuations of $131.99 per adjusted operating shareholders' equity and $192.60 for adjusted book value. Reflecting the successful execution of our key strategic initiatives. I will now turn the call over to our operator to give you instructions for the Q&A period.
Operator: We will now begin the question and answer session. To ask a question, you may press *1 on your telephone keypad. To withdraw your question, please press *1 again. If you are using a speakerphone, please pick up your handset before pressing the keys. At this time, we will pause momentarily to assemble our roster. Your first question comes from the line of Marissa Lobo with UBS. Your line is open, Marissa. Please go ahead.
Marissa Lobo: Good morning. Maybe just starting with the municipal market. How are you seeing the muni market evolve recent volatility? Is the higher yield environment creating increased demand for bond insurance? And any color you can give us on that.
Dominic John Frederico: Yes. We are seeing interest rates rise. We still have not seen credit spreads widen as much as we would like. But we expect that to happen. We are seeing a lot of opportunities if and without that, as you can see from our results. In infrastructure transactions that we did for military housing, significant transactions that we see also in our flow business and also in our secondary markets. So even with this tight spread environment, our financial guarantee is providing a lot of value.
Marissa Lobo: Okay. Thank you. And just looking at Puerto Rico, mediation was extended again through April 2027. To what extent does the post election landscape change previous assumptions on your timing, process, and recovery under the proposed PREPA plan.
Dominic John Frederico: I do not think it changes much, to be honest with you. I think the path that they have taken from the perspective of the White House in terms of changing the council. is still on path to get done. Sometime in the early part of next year. Obviously, we are more interested in the court cases and Judge Swain to stay on the administrative expense claim as to what is our revenue or what is our claim on that collateral. The control committee is what it is, and we will resolve, we think, on some sort of a timely basis. Probably somewhere in 2027.
Marissa Lobo: Okay. Thank you. And if I could just ask on capital return, could you talk about the dividend versus buyback trade off here? Dividends have exceeded buybacks. Is there appetite to continue raising the dividend, or is the preference still to reserve capital for buybacks when the window opens?
Dominic John Frederico: We are actually looking at a lot of different alternatives in the capital management market. And as we make progress across those options, we will continue to update you. You know, we maintain a buffer significant to make sure we ensure our ratings are stable. And, obviously, that buffer was once again confirmed relative to the affirmation of our ratings at the end of this year. By all 3 rating agencies.
When we look forward though, we would like to see that buffer come out of more soft capital than hard capital to give us more options relative to what we do with hard capital in terms of growth of the business potential return to the capital depending on what the market looks like at the time. We believe we are putting on ROEs today on the new business front. Which is in target range of our cost of capital and any excess of our cost of capital. And we have got some unique opportunities there that with the buffer have to be concerned about where our level of capital is today.
And therefore, as we look to manage more options on the capital, we will update you by the end of the year and the fourth quarter. As we look to change the mix of capital. Give us the capital flexibility that we are looking for.
Marissa Lobo: Okay. Thank you. Appreciate all the answers. Thank you.
Operator: Your next question comes from the line of Tommy McJoynt with KBW. Your line is open, Tommy. Please go ahead.
Thomas McJoynt-Griffith: Good morning, guys. Thanks for taking my questions. The first 1 here, I appreciate you guys giving sort of an outlook or a guidance for the full year for PVP of $400 million. To the extent that you guys have a sort of line of sight into what next year looks like, Do you feel like this year has been unusually strong? Do you feel like the pipeline has sufficient that 2027 could see even an increase in PVP relative to this year, understanding some transactions can be lumpy in terms of whether they fall in 1 month or the next. But what. what is your line of sight like into next year in the growth relative to this year?
Thanks.
Dominic John Frederico: Tommy, I will give you a couple of things. 1, I would be disappointed if we end the year at $400 million. So read into it between the lines anywhere you like on that. Number 2, as we look to next year, we have made a lot of inroads relative to our new products and new geographies. And we are continuing to get greater relationships and acceptance across a broader base of markets and products. So as we get counterparty relationships signed up, that opens up the opportunity for not only 1 product or 1 transaction, but multiple transactions. And we are now seeing in the international markets, multiple transactions from the same counterparty.
Number 2, the type of business we are writing today is shorter term than our typical municipal business. So you are going to see a heavier contribution earnings, a heavier contribution to return, and therefore we look at that as a flow business as we go into 2027 where we have typically would have to sit back and wait for large transactions to materialize, to have very good production years. We are looking for more of a flow-buildable book that will continue to increase over time. And once again, with the quicker earnings, lower cap charges, higher earned premium, We think it will have a very positive effect on the ROE of the company.
As we look to get our ROE up to our cost of capital. in the next few years.
Robert Adam Bailenson: Yes. I mean, I just want to add to Dominic's point. And emphasize the fact that these new counterparty relationships that we are opening up in Europe and Australia leading to multiple transactions within each counterparty. And as Dominic said, these transactions, especially in global structured finance, are much shorter And the earnings impact is much quicker. And the capital is reused much quicker as well. And also in US public finance, we are seeing large infrastructure building the pipeline into next year as well. So I am very excited about how we end the year. And also going into next year.
Dominic John Frederico: Yes. And think, Tommy, also is to remember that as you look at these counterparties, they are obviously very comfortable with the credit of Assured Guaranty. As they not only do a transaction, they start expanding the transactions and the size. there is a real good confirmation of how we have managed the company, how we maintain our ratings, the reputation we have in the marketplace, And to emphasize the fact, these are large transactions. These counterparties are taking down, especially in structured finance.
Thomas McJoynt-Griffith: Okay. Got it. Appreciate all that. And, actually, just to clarify, since some of the contracts are shorter duration, you know, historically, we had always looked at the UPR on the balance sheet, As a sort of way to assess, you know, growth in the business. But with the shorter duration, does that mean that metric might not be the best 1 to look to when we think about your sort of future production numbers?
Robert Adam Bailenson: Yes. Well, I will say something and then Benjamin probably can jump in as well. I will say that you have to do both. I think UPR is a strong metric for what we look at as for future earnings, but you also should start especially in structured finance, looking at the earnings in that because that is actually increasing significantly as we continue to open up the. These new counterparties in multiple transactions in this fund finance, core lending portfolios of banks. So that is gonna become much more. Much a very important metric for you to look at as well.
Benjamin Rosenblum: Yeah. I would echo what Robert said. I mean, our premiums, obviously, our lifeblood. We have a little over $3.8 billion in deferred premium revenue, and that is great. But you will say that our. While our deferred premium revenue stayed relatively stable over the last couple of quarters, our earned premium has continued to increase quarter over quarter. And that is really a reflection that Robert's right, that structured finance deals are impacting our bottom line faster while the unearned. even though the unearned premium is not really going up, the earned premium is.
Dominic John Frederico: Yes. We look at scheduled earned premium. This is 1 of the parameters of growth and successful growth. As long as that is increasing, you might not be adding to the UPR. number on the balance sheet, which we still expect to rise as well. Because these contracts are being renewed and further extended then new relationships with new more contracts. So we think that is gonna be a really good source of both earned premium and unearned premium reserve.
Thomas McJoynt-Griffith: Okay. Okay. Appreciate that. And then going back to the capital discussion, certainly, I think you guys have well communicated the slowdown and the cadence of buybacks back in the early summer. As you sort of seek out these growth opportunities. But just can you talk about how you sort of weigh that against the stock now is trading at sub-60% book value, sub-55% book value ex-AOCI, So how does the valuation of the stock, fit into your sort of thesis around how you think about deploying capital given the accretion you could get from buybacks?
Dominic John Frederico: So we realized that is an outstanding transaction that the company could do. But we have our strategy in terms of new business, our buffer relative to the rating and the composition of the capital. We anticipate making inroads on the composition of capital through the end of the year and continuing into next year. At which point in time, we will then have the flexibility. Right now, our buffer and the reserve for new business is made up of hard capital. As we switch that to soft capital and let the hard cap will then be there for either growth or return, I think you will see a very different analysis being done.
So we have got issues we are dealing with relative to opportunities And, obviously, as we work through things like BrightLine, which we are very pleased with the outcome, that we expected there. sub-creditors to put more equity into the deal. We are happy with our position. And as that now runs its way through bankruptcy court, you know, we will look at, once again, capital over and over again. Each quarter, we take a hard look at it and see where we wanna go. And what our opportunities are. The life business is gonna take some capital as well. Which we are very happy with.
And as that runs its course through 2027, and towards the end of this year, you will get a very clear insight as to where the capital is going and where we are using it for.
Operator: Hey, Tom. Your next question comes from the line of Geoffrey Dunn with Dowling and Your line is open, Jeffrey. Please go ahead.
Geoffrey Dunn: Thanks. Good morning.
Dominic John Frederico: Good morning, Jeff. With Brightline, what should we be watching for that would justify that exposure coming off the BIG list and getting upgraded internally? Upgrade internally could take a little bit of a while. But what you should look for is A, the exit from bankruptcy, and therefore, solidifying the amount of new capital we got. And then back to the actual performance of the railroad, the growth in revenues, the ability now to operate expenses and debt service. Remember that debt service is significantly less than it was before. And, you know, we are at the top of the stack.
Therefore, we think that this has got real opportunity to cure all their problems and it already went in our books from BIG-2 to BIG-1. So we are telling you that it is being more remote of us ever having to think about paying a loss.
Benjamin Rosenblum: Yes. We have already recognized that benefit coming from BIG-2 to BIG-1.
Geoffrey Dunn: Right. And then with respect to the shorter duration deals and the faster premium recognition, can you give a rough mix shift idea of what kind of mix of your earned premium were those type of deals maybe 2 years ago? Where are we today? And given the growth, can you give, like, a 5% band to where you think it is gonna go? I am trying to gauge the speed at which we can see that impact over the next couple of years.
Robert Adam Bailenson: Yeah. Rough numbers, I will tell you, Jeff. I mean, 2 years ago, it was probably down 5%. Now it is up to. is really up to 27% Year to date. So struck. that is shorter duration business and structured finance. Is roughly 27% to 30% of the total. And I expect as we continue to grow that business, I think it is going to be even higher. So the fund finance business really, really made that go much faster. We continue to grow in the fund finance business. So like I said, it is 30% of structured finance now. And I expect that to grow, it could grow up 30% to 40%.
Benjamin Rosenblum: Okay, Jeff, we are going to be adding into the supplement an analysis of where the earned premium comes from. So you can see the kind of impact this new product type and structured finance is going to have on our earned premium.
Dominic John Frederico: that is why I was saying, Ben, it is going to be a larger percentage of the total.
Geoffrey Dunn: Got it. Alright. Thank you. You are welcome.
Operator: This concludes the question and answer session.
Robert S. Tucker: I would now like to turn the conference back to our host, Robert S. Tucker, for closing remarks. Thank you, operator. I would like to thank everyone for joining us on today's call. If you have additional questions, please feel free to give us a call. Thank you very much.
Operator: This concludes today's conference call. Thank you all for attending. You may now disconnect your lines. Have a great day.
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