Investment management firm Credit Suisse, which operates a number of insurance-linked securities (ILS) investment funds, has said that it does not expect that insured losses from the Moore, Oklahoma tornado will have any impact on its funds. The tornado which struck Moore on Monday causing many fatalities and devastation to much of the property in its path is though to have caused economic losses in the billions of dollars.
Credit Suisse said that Monday’s tornado seemed even more fierce than the one which struck the town of Moore in 1999 which destroyed thousands of homes and caused around $1.3 billion of damage in todays dollar terms.
Currently Credit Suisse expects the insured industry loss from the Moore tornado to be below $5 billion, adding; “Although it is much too early to have a clear picture of potential loss figures, we do not expect our funds to be impacted. We will closely monitor the situation and will keep you updated if needed.”
Credit Suisse manages the CS Iris Low Volatility Fund as well as a number of other funds that invest in catastrophe bonds, insurance-linked securities and collateralized insurance and reinsurance contracts. It manages the master fund to the DCG Iris stock exchange listed ILS fund, which earlier today we wrote has successfully raised over £9m more capital, meaning that any impact to the CS Iris Low Volatility Fund could translate into an impact for DCG Iris.
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