Catastrophe bond news

The Los Angeles Department of Water and Power (LADWP), the largest municipal utility operating in the United States, has scaled back its latest catastrophe bond issuance, with the company now targeting $100 million of wildfire protection from its 123 Lights Re Ltd. (Series 2025-1) deal, down from earlier guidance of up to $150 million, Artemis […]

This morning we are pleased to announce a keynote speech from the Bank of England and also to reveal the agenda outline for our upcoming catastrophe bond and insurance-linked securities (ILS) conference, Artemis London 2025. Held in London on September 2nd, there are just a few weeks to go. Register to attend here.

Fermat Capital Management has shuttered the long-standing GAM FCM Cat Bond Fund, an offshore strategy it took over as part of its recent separation with asset manager GAM, with substantially all of the investors having now moved to its newer offshore Fermat Cat Bond Fund, Artemis can report.

Conditions in the Atlantic tropics now look more favourable than they did one month ago, which has led Tropical Storm Risk (TSR) to slightly increase its forecast for the 2025 Atlantic hurricane season, with activity levels now anticipated to be around 15% above normal.

The overall yield of the catastrophe bond market has begun its seasonal decline over the last month as the typical hurricane season spread tightening regime set in, according to cat bond fund manager Plenum Investments.

As per a new report from reinsurance broker Gallagher Re, artificial intelligence (AI) solutions can significantly contribute to reducing the time needed to create new catastrophe bond structures, which may ultimately enhance the confidence of prospective investors in the market.

According to Hiscox Chief Financial Officer (CFO) Paul Cooper, the majority of the $300 million of third-party capital raised by Hiscox ILS, the insurance-linked securities (ILS) investment focused arm of Hiscox Group, during the first half of 2025, has gone into the organisation’s property catastrophe exposed business.

At a Board meeting of the Texas Windstorm Insurance Association (TWIA) yesterday, members discussed the evolution of the property insurer of last resort’s funding under new state legislation, concluding that it may result in TWIA opting to reset and perhaps even redeem early some of its catastrophe bonds.

King Ridge Capital Advisors has examined how the 60/40 portfolio has come under increased scrutiny in recent years, notably regarding its capacity to hold when financial markets are in distress, while also highlighting how catastrophe bonds’ ability towards offering a source of truly uncorrelated returns is helping redefine portfolio resilience.

The catastrophe bond market delivered a total return of 1.47% in July 2025, as seasonality kicked in and drove what we’re told was one of the best performances for that month of any year in the history of the benchmark Swiss Re Global Cat Bond Index.