Pandemic cat bond news

Pandemic cat bond news related to the World Bank’s issuance of pandemic catastrophe bonds as part of the insurance window financing for the Pandemic Emergency Financing Facility (PEF).

The World Bank’s IBRD issued $320 million of pandemic catastrophe bonds and $105 million of pandemic risk linked swaps to provide capital markets backed reinsurance financing for the PEF.

The pandemic cat bond notes faced threats from an Ebola outbreak and the 2019/20 Covid-19 coronavirus pandemic.

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Investor interest can survive pandemic cat bond loss: Seo, Fermat Capital

The World Bank’s pandemic catastrophe bond issuance looks increasingly likely to suffer a significant loss of investor principal due to being triggered by the ongoing Covid-19 coronavirus outbreak, but John Seo of Fermat doesn’t think that will dent investor appetite for the risk.As we explained in this recent article, it read the full article →

Coronavirus may trigger $196m World Bank cat bond & swap payout

The payout from the World Bank issued pandemic catastrophe bonds, as well as the pandemic risk-linked swaps that were issued at the same time, may reach just under $196 million in total, if the ongoing Covid-19 coronavirus outbreak triggers the financial instruments.The impact from the Covid-19 coronavirus pandemic has more read the full article →

No coronavirus contagion for the catastrophe bond market: Seo

It’s business as usual in the catastrophe bond market despite the global crisis of the Covid-19 coronavirus outbreak, according to John Seo, Co-Founder and Managing Director of Fermat Capital Management.Commenting in a recent communication to his investors on the coronavirus outbreak, its effects on global financial markets and whether that read the full article →

World Bank President Malpass notes PEF pandemic bonds could pay out

The President of the World Bank Group David Malpass has highlighted the importance of financial preparation for pandemic emergencies, of the kind provided by the Pandemic Emergency Financing Facility (PEF), which is backed by insurance including the now much-discussed World Bank issued pandemic catastrophe bonds.With the two tranches of notes read the full article →

ILS funds could see some Coronavirus contingency claims leakage: von Herberstein

The insurance-linked securities (ILS) fund market does hold some exposure to contingency related risks, including from event related exposures, which means there is a chance of some claims leaking to ILS funds from coronavirus triggered claims, Hudson Structured partner Edouard von Herberstein said today.Speaking at the SIFMA Insurance and Risk read the full article →

Pandemic cat bond price plummets on growing coronavirus threat

The secondary market price for the tranche of the World Bank's pandemic catastrophe bond that is most at-risk of paying out due to the spreading global coronavirus outbreak has plummeted, while the lower risk tranche has now also been marked down.As we explained last week, secondary market pricing for the read the full article →

Pandemic cat bond prices to drop again on coronavirus spread: Plenum

Secondary market pricing for the World Bank's pandemic catastrophe bond notes are set to decline, significantly for one tranche, after the coronavirus outbreaks spread resulted in a second triggering condition being met, Plenum Investments believes.While the pandemic cat bond issued by the World Bank has not yet been triggered and read the full article →

Coronavirus outbreak meets another pandemic cat bond trigger condition

The spreading global outbreak of the novel coronavirus (2019-nCoV or Covid-19) has now met another of the conditions within the trigger mechanism of the World Bank’s pandemic catastrophe bond transaction, raising the chance that noteholders face losses in the coming weeks.As we have explained, the novel coronavirus (2019-nCoV or Covid-19) read the full article →

Coronavirus pressure on pandemic cat bond rises as virus spreads

The pressure is rising on the World Bank’s pandemic catastrophe bond transaction as the novel coronavirus (2019-nCoV or Covid-19) spreads internationally and the number of deaths in certain countries around the globe nears the trigger point.As we explained in January, the novel coronavirus (2019-nCoV or Covid-19) outbreak that began in read the full article →

Pandemic cat bond secondary price reacts as coronavirus cases rise

The secondary market indicative price for one tranche of the World Bank’s pandemic catastrophe bond transaction has now responded to the rise in cases from the novel coronavirus outbreak.As we explained previously, the novel coronavirus (2019-nCoV or Covid-19) outbreak that began in the city of Wuhan in Hubei province China read the full article →