risk capital

Guy Carpenter has begun publishing its update on the Q3 2010 catastrophe bond market activity on its GCCapitalIdeas.com blog. Only two transactions came to market during the 3rd quarter increasing risk capital available by just $232m, making it a light quarter although historically in line with previous Q3 issuance.

As with any marketplace of this kind the insurance-linked securities market for catastrophe bonds size is denoted by new issuance minus maturing transactions (which leaves risk capital outstanding). As this market is not particularly old (with the first cat bond deal we’ve recorded being in 1994) it saw the amount of risk capital outstanding grow […]