Alternative capital rebounds to record $97bn (again): Aon
For now the third time, alternative capital levels in reinsurance, largely in insurance-linked securities (ILS) formats, have rebounded to their previous high-level of $97 billion, according to Aon. That came against a shrinking of traditional reinsurance capital levels, as reinsurers were impacted by unrealised losses linked to their bonds, triggered by interest rate movements. Overall, […]
London workshop with Twelve Capital and African Risk Capacity
Climate change leads to a larger protection gap of which 96% is in the developing world* Twelve Capital held a workshop with high calibre market players to discuss how natural catastrophe risks can be transferred to financial markets for disaster relief in emerging markets. Against the backdrop of Impact Investing some highlights covered were: – […]
Mid-year collateralized reinsurance renewal rate rises higher than expected
Rate increases secured by insurance-linked securities (ILS) funds and collateralized reinsurance vehicles at the mid-year reinsurance renewals are likely to be higher than had been expected when the negotiations began, sources have told Artemis. Typically, we don’t get any clear signs of price trajectory until after July 1st when the reinsurance broker reports are released, […]
ILS helps Hong Kong’s financial market diversify: Paul Chan
The passage of insurance-linked securities (ILS) legislation and now the successful issuance of a second catastrophe bond in the country, helps Hong Kong as it continues on its mission to further diversify its financial market and services sectors, according to Financial Secretary Paul Chan. With the recent completion of Hong Kong headquartered reinsurance firm Peak […]
K2 sees cat bonds as stand-out for growth. Price discipline drives spreads
Increased investor price discipline across insurance-linked securities (ILS) and reinsurance linked investments is helping to drive returns higher, but catastrophe bonds are the stand-out as the ILS market segment likely to grow in 2022, according to K2 Advisors. The investment research team of K2 Advisors, the hedge fund focused asset manager unit of investment firm […]
ILS gains attention as climate change felt around the world: HK IA’s Cheung
On announcing the completion of the second catastrophe bond issuance domiciled in Hong Kong, the Insurance Authority’s CEO Clement Cheung explained that insurance-linked securities (ILS) are a focus as they gain increasing attention. The Insurance Authority said that it welcomes the second issuance of insurance-linked securities (ILS) in Hong Kong. As we’ve been reporting for […]
SBAI publishes responsible investment guidance for ILS funds
The Standards Board for Alternative Investments (SBAI) has published a new guidance document that covers responsible investment within the insurance-linked securities (ILS) fund management industry. The SBAI had already ramped up its focus on environmental, social and governance (ESG) alongside responsible investing within various asset management segments. This included the publication of toolkits to help […]
Peak Re’s cat bond to be first to use Hong Kong ILS grant
Having recently completed the sponsorship of its first ever catastrophe bond, Hong Kong headquartered global reinsurer Peak Reinsurance Company (Peak Re) wants to play an important role in helping to develop Asia’s insurance-linked securities (ILS) market and building regional resilience. This is according to Franz Josef Hahn, CEO of Peak Re, who in commenting on […]
Swiss Re opts for zero-coupon & multi-year notes in new Matterhorn Re cat bond
Global reinsurance giant Swiss Re is making headway with the issuance of its newest catastrophe bond, the $150 million targeted US hurricane focused Matterhorn Re Ltd. (Series 2022-2) deal and it seems zero-coupon and multi-year protection are proving most economical. As we reported on May 24th, Swiss Re was back in the catastrophe bond market […]
Peak Re sponsors 144A catastrophe bond in Hong Kong
Hong Kong-based global reinsurer, Peak Re has issued a US$150 million 144A catastrophe bond via Black Kite Re Limited, a newly established special purposed insurer in Hong Kong. As part of the transaction, Peak Re has entered into a retrocession arrangement with Black Kite Re, providing Peak Re with a multi-year protection against typhoon risk […]