Cat-bond investors brace for major losses

Quick Summary:

INVESTORS in catastrophe bonds are girding themselves for substantial losses as the combined destructive force of Hurricanes Helene and Milton looks set to trigger payment clauses on a scale not seen in years.

In an emailed response to questions, FEMA said it had transferred $1.9 billion of flood risk to the private sector ahead of the 2024 hurricane season, with most of that landing in the cat-bond market.

Ian’s impact led to a 10% slump in the Swiss Re Catastrophe Bond Index back in September 2022, sending shockwaves through catastrophe-bond portfolios and feeding an issuance boom as insurers shifted more of the risk on their books over to the capital markets.

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Article Details

Author / Journalist: BusinessMirror

Category: BusinessStartups

Markets: PhilippinesJamaica

Topics: Trigger Bonds Cat-bond Investors Helene Hurricane Milton Billion Bond Losses Catastrophe

Source Website Secure: Yes (HTTPS)

News Sentiment: Neutral

Fact Checked: Legitimate

Article Type: News Report

Published On: 2024-10-09 @ 14:07:14 (14 hours ago)

News Timezone: GMT +8:00

News Source URL: businessmirror.com.ph

Language: English

Article Length: 1040 words

Reading Time: 6 minutes read

Sentences: 37 lines

Sentence Length: 29 words per sentence (average)

Platforms: Desktop Web, Mobile Web, iOS App, Android App

Copyright Owner: © Business Mirror

News ID: 22969570

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About Business Mirror

Main Topics: BusinessStartups

Official Website: businessmirror.com.ph

Update Frequency: 116 posts per day

Year Established: 2005

Headquarters: Philippines

News Last Updated: 11 hours ago

Coverage Areas: Philippines

Ownership: Independent Company

Publication Timezone: GMT +8:00

Content Availability: Local / Regional

News Language: English

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Website Security: Secure (HTTPS)

Publisher ID: #37

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