With catastrophe bond market returns remaining elevated, the cat bond market index calculated by Swiss Re Capital Markets rose again in the last week, regaining all of the decline seen from hurricane Milton and more, to now stand 0.25% higher than when that storm hit.
When catastrophe bonds were priced for the first time after hurricane Milton’s landfall in Florida, the Swiss Re Global Cat Bond Total Return Index, that tracks the entire outstanding catastrophe bond market, fell 1.34%.
A week later, as the impacts of the storm became clearer, the Swiss Re catastrophe bond market index bounced back, to leave the benchmark for the entire cat bond market only -0.30% down, while the US wind specific version of the cat bond index also recovered to -1.31% since the hurricane made landfall.
FULL ORIGINAL PUBLICATION HERE
