Impact of Turkey quakes adds to challenging environment for re/insurers: AM Best
A new report from AM Best has highlighted how the impact of the two earthquakes in south-eastern Turkey, adds to what is already a “challenging operating environment” for re/insurers within the country. On February 6, 2023, two powerful earthquakes of more than 7.5 magnitude struck near the south-eastern Turkish cities of Gaziantep and Kahramanmaras, the […]
2023 an opportunity to invest in ILS on attractive historic yields: Cambridge Associates
Independent investment management giant Cambridge Associates LLC is bullish on the outlook for insurance-linked securities (ILS) investing in 2023, believing the higher yields on offer provide a good return opportunity relative to risk. But they caution that investors should review the ILS asset class on a regular basis. It’s sound advice from the investment giant […]
Weather risk transfer market is primed for innovation: Swiss Re Corporate Solutions ECM
There’s a lot of room for innovation when it comes to weather risk transfer solutions, and with the energy transition and adoption of renewables providing additional opportunities, Rishu Ranjan of Swiss Re Corporate Solutions is optimistic for the future. Ranjan leads the Weather & Environmental Commodities (ECM) team at Swiss Re Corporate Solutions, the commercial […]
Risk adjusted cat bond yields seven times higher than 2016: Twelve Capital
Specialist insurance-linked securities (ILS) and reinsurance investment manager Twelve Capital believes the catastrophe bond investment opportunity to be particularly compelling for 2023. Higher pricing of reinsurance and retrocession, alongside stricter documentation of coverage in cat bonds, means the sector has about the highest return potential in its history. These factors “Make the current environment an […]
Risk adjusted cat bond yields seven times higher than 2016: Twelve Capital
Specialist insurance-linked securities (ILS) and reinsurance investment manager Twelve Capital believes the catastrophe bond investment opportunity to be particularly compelling for 2023. Higher pricing of reinsurance and retrocession, alongside stricter documentation of coverage in cat bonds, means the sector has about the highest return potential in its history. These factors “Make the current environment an […]
Collateral can be held too long for US wind ILW’s, study suggests
With the key January reinsurance renewals having been challenging and characterised by reduced capacity and higher pricing, the focus can often turn to buying hedges such as industry-loss warranties (ILW’s), but a new study highlights some issues investors should be aware of. The study by Kriesch Advisors, mandated by Swiss-headquartered capital markets risk transfer focused […]
Industry loss cat bonds show significant relative value: Twelve Capital
Given spread widening has been seen to be more considerable with index-linked, or industry loss triggered, catastrophe bonds, compared to indemnity deals, investment manager Twelve Capital says there is significant relative value in them and as a result it advises being overweight to the index trigger cat bond category. Twelve Capital, the Zurich headquartered investment […]
Industry loss cat bonds show significant relative value: Twelve Capital
Given spread widening has been seen to be more considerable with index-linked, or industry loss triggered, catastrophe bonds, compared to indemnity deals, investment manager Twelve Capital says there is significant relative value in them and as a result it advises being overweight to the index trigger cat bond category. Twelve Capital, the Zurich headquartered investment […]
Global Natural Catastrophe & Hazard Review. Analysis & Insurance Implications
During past year, the world saw another year of impactful natural catastrophe events that once again emphasized the need to better account for the growing risks that these hazards bring, according to Gallagher Re Natural Catastrophe Report. Contents: Global natural catastrophe overview Global Natural Hazard: Notable Statistics Global Natural Catastrophe Event Summary Natural catastrophe summaries by […]
Visualising higher catastrophe bond spreads & pricing
With reinsurance rates having hardened considerably, pricing in the catastrophe bond and broader insurance-linked securities (ILS) market has followed suit. In fact, the new reinsurance and retrocession pricing regime that has been installed through the January 1 2023 renewal season really became visible first in the catastrophe bond market, as Artemis’ data shows. Today, we […]