We’re now into the third month of the year and Q1 is looking like it could see near record levels of catastrophe bond issuance. In the last week another deal has come to market, the dual sponsor Combine Re Ltd. which is being issued by Swiss Re America for two reinsureds. Much of the market has been attending the SIFMA conference in New York at the end of the week, Artemis attended, and the general discussion with people there was that 2012 is looking like a very good year for insurance-linked securities so far. Here are the most popular stories of the last seven days on Artemis.
Top ten most viewed articles on Artemis.bm, week ending 4th March 2012:
- ILS Advisers launches, first Asia based insurance linked investment consultant
A new firm launches aiming to advise Asian investors on the best way to access the insurance-linked investment space. This could help to expand the capital base seeking to enter the market.
- Swiss Re to sponsor new catastrophe bond Combine Re Ltd. which benefits two reinsureds
The ninth cat bond/ILS transaction of 2012 comes from Swiss Re who are seeking to issue a bond involving two cedant reinsureds in a single multi-peril deal.
- Swiss Re looks to increase use of contingent capital
A Swiss Re representative said in an interview that they would look to contingent capital as something they would use more frequently.
- Catastrophe bond indices both tumble as price returns continue drop
Price returns of outstanding cat bonds continue to move as the market adjusts to heavy issuance and the reinsurance pricing climate.
- Munich Re successfully closes Queen Street V Re Ltd. catastrophe bond
Munich Re’s latest cat bond, their fifth Queen Street deal, closes successfully.
- Impact of FATCA regulations on catastrophe bond issuers unclear
Some interesting commentary on the FATCA rules which could impact cat bond issuers. The outlook is unclear but interested parties should make themselves aware of this regulation.
- Capital market capacity could slow the return of a hard market
Interesting comments from Bill Dubinsky of Willis who discusses whether the increased capacity in the capital markets risk transfer sector could be slowing the return of a hard market.
- SIFMA highlights concern about the Volcker Rule to U.S. regulators
Our second story on regulation that could impact the cat bond market comes via insight from SIFMA on the Volcker Rule.
- Eurekahedge and ILS Advisers launch index tracking performance of insurance-linked investment funds
A new index which tracks the performance of ILS funds launches. Artemis now carries the index and you can view the new index on Artemis here.
- Glacier Re extends Nelson Re catastrophe bond again
The uncertainty continues over the Nelson Re cat bond as the deal is extended again as arbitration begins.