options

Through its corporate foundation, France-headquartered global reinsurance company SCOR is backing a climate prediction market initiative named CRUCIAL (The Climate Risk and Uncertainty Collective Intelligence Laboratory) that looks to produce collective expert forecasts of climate-related risks.

Once again the discussion of exchange-traded weather risk management products for Indian farms, companies and insurers has come to the fore, but this time the plan is for a product to be launched after September of this year.

India’s government cabinet have today approved changes to the laws which allow commodity trading in the country. The laws have been in place and allowed trading of commodity futures since 2003. The new change to the law will allow commodity options to be traded on exchanges within the country.

Remember HURLOs? Hurricane Risk Landfall Options? They were launched in October 2008 by Weather Risk Solutions, LLC (WRS) and promised a mutualized marketplace for hurricane options (our previous coverage here and here). To date they’ve been dabbled with by investment professionals but we haven’t heard a great deal more until today.

Snowfall has certainly been a feature of the northern hemispheres winter months this year. The UK suffered much colder temperatures than normal and snowfall which remained on the ground for many days causing much disruption to transport, travel and businesses. The U.S. has suffered huge snowfalls in the northeast which again caused major disruption and […]

Today saw the relaunch of the much anticipated Hurricane Risk Landfall Options (HuRLOTM) from Weather Risk Solutions, LLC. We wrote about HuRLOs when they launched as a pilot back in October 2008 with much anticipation of the full launch as they offer an easily accessible method to hedge against landfalling hurricanes. Trading opens today on […]

The CME Group has announced that they have acquired the Carvill Hurricane Index and changed it’s name to the CME Hurricane Index. This makes total sense as the hurricane futures and options contracts are all traded and settled on the CME. In addition the CME have brought EQECAT on board to be the new calculation […]

The Chicago Mercantile Exchange recently launched 2nd event Florida and Gulf Coast hurricane option contracts to the trading community. Already, Tradition have announced through a press release that the market is open for business as their U.S. reinsurance division Tradition Re have brokered the first deal on these new 2nd event contracts. The deal, a […]

Chicago, Wednesday January 21st 2009 – The 2009 hurricane season is already underway in the financial marketplace as CME Group announced trading activity on the first day of opening the 2009 contracts. This starts the season nearly five months ahead of the 2008 season. According to CME Group, 3000 Seasonal Maximum Binary Option contracts were […]

It’s become apparent that reinsurers are going to have to wait until December to get a final loss estimate from the ISO’s Property Claims Services unit. This won’t please those waiting to here whether any instruments such as catastrophe futures, options or bonds have been triggered. The magnitude of losses is becoming clear in reports […]