Catastrophe bond fund news

The overall assets under management (AuM) of the main UCITS catastrophe bond funds as a group rose by almost $700 million during the fourth-quarter of 2022, as recovery of some cat bonds after hurricane Ian and fresh inflows helped the total increase 9% to reach $8.78 billion, a new year-end record high.

Catastrophe bond funds in a UCITS format only fell to a -2.3% negative annual return for 2022, according to the average weighted index of the Plenum CAT Bond UCITS Fund Indices.

Today we announce the third wave of expert speakers who will be joining us at our next insurance-linked securities (ILS) conference, Artemis ILS NYC 2023 on February 10th in New York City. Please register soon to guarantee your place at the conference and as Early Bird rates are only available until Jan 9th.

The global insurance and reinsurance market, including insurance-linked securities (ILS), currently offers “one of the best entry points for investors in decades” according to Twelve Capital CIO and Founding Partner Urs Ramseier.

The Plenum CAT Bond UCITS Fund Indices, an index that provides a reasonable proxy for cat bond fund performance across the market, saw mixed fortunes again between the lower and higher risk strategies in the last week of record, while the overall year-to-date performance has continued to improve.

The lower-risk cohort of UCITS catastrophe bond funds has again seen the strongest gains in the last week of record to December 9th, according to the latest data from the Plenum CAT Bond UCITS Fund Indices, while overall the Index is now only down around 2.80% year-to-date.

Amundi Asset Management US, Inc. (Amundi US) is in the process of marketing and launching its first pure catastrophe bond mutual fund strategy, which is another signal of just how attractive the cat bond investment market is right now.

In the last week of available data, it was lower-risk cohort of UCITS catastrophe bond funds, as measured by the Plenum CAT Bond UCITS Fund Indices, that performed better, with a small positive gain at a time when other funds are still feeling the effects of widening spreads.

Catastrophe bond funds, as measured by the Plenum CAT Bond UCITS Fund Indices, lost ground for the first week since mid-October as the effects of continuing spread widening and the resulting price adjustments dented performance a little.

Today we are announcing the second wave of expert speakers who will be joining us at our next insurance-linked securities (ILS) conference, Artemis ILS NYC 2023 on February 10th in New York City. Please register soon to guarantee your place at the conference.