The catastrophe bond market delivered the second-highest total-return in its history in 2024, reaching 17.29% for the full-year, according to data from the Swiss Re Cat Bond Performance Indices.
While the catastrophe bond market’s performance fell behind the record set in 2023, at 17.29% the full-year 2024 total-return implies very strong performance from catastrophe bond fund strategies and attractive returns for cat bond investors.
It’s important to note though, that managed cat bond funds tend not to deliver quite as high a return as the market Index that is calculated by global reinsurance firm Swiss Re, with the majority of strategies having ranged between 12% and around 15% for full-year 2024 returns, according to our sources.
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