Basis risk a manageable, programmable feature of parametric triggers: Research
A new study authored by Hang Gao, et al published in The Geneva Papers on Risk and Insurance has highlighted how basis risk is a manageable and structural feature of parametric triggers, decoupling it from financial impacts on insurers or policyholders to focus on its fundamental properties. According to the paper, weather parametric insurance has […]
Industry index cat bonds outperformed market post-hurricanes Ian and Irma: Neuberger Berman
A recent report from investment manager Neuberger Berman has indicated that industry index catastrophe bonds have outperformed the broader cat bond market with respect to realised losses and mark-to-market performance, following the occurrences of both hurricanes Ian and Irma. The firm’s latest report, A Validation Study of Catastrophe Bond Losses Over Time, provides a detailed analysis […]