Cat bonds still the main source of ILS market growth: Aon Securities
While the insurance-linked securities (ILS) market is now beginning to see broader growth resuming, with some successful capital raises across private ILS and collateralized reinsurance, the catastrophe bond market is still leading the way as the main source of ILS market growth in 2023, Aon Securities’ latest data shows. The broker issued its latest reinsurance […]
Private ILS fund returns accelerate in May, beat cat bonds for first time in 2023
The returns of private ILS funds, so those that invest in privately transacted insurance-linked securities (ILS) including collateralised reinsurance and retrocession, have outpaced pure catastrophe bond funds for the first time this year in May 2023. This is according to the Eurekahedge ILS Advisers Index, which reported an average ILS fund return of 1.17% for […]
For ILS funds, the challenge is not raising too much capital: Vickers, Gallagher Re
While conditions are attractive for insurance-linked securities (ILS) markets right now and as a result ILS fund returns have been impressive, James Vickers, Chairman International, Reinsurance, at Gallagher Re cautioned that managers must be careful not to raise too much new capital. ILS fund managers are experiencing increasing demand from investors, while investor interest is […]
HKEX and BSE Agree to Dual Listing of Stocks
The Hong Kong and Beijing stock exchanges signed a memorandum of understanding to support qualified companies to apply for listing on each other’s markets, opening the door for long-term cooperation between the two stock markets. Under the agreement, qualified companies traded on the Beijing Stock Exchange (BSE) can apply for flotation on the Hong Kong Stock Exchange (HKEX) and […]
Alternative reinsurance capital grows to new $100bn high: Aon
According to the latest data from insurance and reinsurance broker Aon, alternative reinsurance capital, largely deployed in insurance-linked securities (ILS) formats, has resumed growth and reached a new high of $100 billion. The catastrophe bond market has been the main contributor to insurance-linked securities (ILS) market growth through the start of 2023, the broker explained. […]
Catastrophe bond market breaks half-year issuance record
In advance of the end of the quarter, Artemis can now report that issuance of property catastrophe bonds in the first-half of 2023 will close out June at an all-time high for the period of almost $9.7 billion, which beats the full-year total from 2022 and sets a new record for any half-year of cat […]
Florida State Board could near double $1bn pension ILS allocation
The Florida State Board of Administration, which manages the huge and roughly $180 billion Florida Retirement System Pension Plan, looks set to increase the size of its allocation to insurance-linked securities (ILS). The move comes as laws have been changed in Florida to allow the state retirement system, which is one of the largest pension […]
Schroders Capital raises $70m to launch Coda cat bond fund for US investors
Schroders Capital has launched a new catastrophe bond fund that has been designed as an offering for US investors, raising $70 million from two clients earlier this month for the Schroders Capital Coda Fund. The Schroders Capital Coda Fund is an insurance-linked securities (ILS) fund domiciled in the Cayman Islands that allocates capital primarily to […]
An Italian cat bond “would be snapped up”, says Tenax Capital’s Figna
Speaking to a local Italian daily newspaper, Massimo Figna, founder and CEO of hedge fund manager Tenax Capital, explained that with insurance penetration extremely low, Italy would benefit from the use of catastrophe bonds, which he believes investors would “snap up.” Tenax Capital is a London-based investment manager that Figna founded and it offers a […]
ILS investors willing to take on more risk, if the price is right: Peel Hunt
Insurance-linked securities (ILS) investors appear ready and willing to take on more peak peril severity catastrophe risk, if the price is right, leading analysts at Peel Hunt to suggest the ILS market is primed for growth. Investors are looking for evidence that reinsurance is now rate-adequate, and that is what now needs to be proven […]