Cat bonds stable & resilient amid tariff financial market volatility: Fund managers
Catastrophe bonds are once again showing their value as a source of portfolio stability, with specialist cat bond fund managers Plenum Investments and Icosa Investments AG highlighting the sector’s calm performance despite growing volatility in broader financial markets tied to U.S. tariff tensions and macroeconomic uncertainty. In separate updates, both Plenum Investments and Icosa Investments […]
SCMP: Magnitude 8 earthquake risk on rise in China and surrounding regions, study warns
As the world reels from the aftermath of the Myanmar earthquake, seismologists have warned there is a heightened danger of further disasters. FULL ORIGINAL PUBLICATION HERE
Hong Kong government can encourage investors by allocating to ILS products, says FSDC
As Hong Kong continues to focus on developing insurance-linked securities (ILS) as a key market segment, a position paper from advisory body the Financial Services Development Council states that further integrating ILS products into its own investment portfolios would help the government encourage investors to consider allocating to the asset class. So far there have […]
SCMP: Opinion | An Asia racked by natural disasters needs insurers to step up
Instead of withdrawing from high-risk areas, Asia’s insurers must become an active partner in long-term climate risk management. FULL ORIGINAL PUBLICATION HERE
Cat bond market yield stable at 10.43%, as seasonality and demand compete in March
The opposing forces of seasonality and demand continued to drive the overall yield of the catastrophe bond market sideways through March, ending the month at 10.43% so remaining relatively flat over the period, according to the latest data from Plenum Investments. Recall that, back in late 2024, high-demand for catastrophe bond investments had compressed risk spreads somewhat […]
SCMP: Deaths from future big earthquake in Philippines may surpass 50,000: seismologist
The forecast comes after a 7.7-magnitude quake in Myanmar last week left over 2,700 people dead and caused a building in Bangkok to collapse. FULL ORIGINAL PUBLICATION HERE
Catastrophe bond market can return ~8.5% in 2025 with expected losses: Lane Financial
The catastrophe bond market is forecast to have the potential to deliver a total return of around 8.5% in 2025, even after accounting for an expected level of losses to bonds during the year, according to consultancy Lane Financial LLC. Pricing in the catastrophe bond market is said to be “slouching just south of neutral,” […]
Alternative reinsurance capital hit new $115bn high at end of 2024: Aon
The amount of alternative capital from insurance-linked security (ILS) and third-party investor sources in the global reinsurance market grew by 7% in 2024, to end the year at a new high of $115 billion, according to Aon’s Reinsurance Solutions. When Aon last reported on alternative and ILS capital in the reinsurance market, the figure was $113 […]
Plenty of headroom left in higher reinsurance attachments, despite inflation: J.P. Morgan
Equity analysts from investment bank J.P. Morgan came away from a recent visit to companies in the London insurance and reinsurance market with the impression that underwriters feel there is plenty of headroom left in the higher attachment points still installed across the sector, despite inflationary influences on losses. “We came away from the tour […]
ILS fund return dispersion high again in Feb, on CA wildfire & Helene flood losses: ILS Advisers
The ILS Advisers Fund Index has reported a +0.17% return for February 2025, but the company has highlighted a second consecutive month where there was a broad dispersion between ILS fund returns and performance, as effects from losses due to the California wildfires continued to flow through the market. In addition to the wildfire related negative performance […]