trading

Short-dated catastrophe bonds traded in the secondary market last week, as some investors continued to show an appetite to buy these bonds, likely to hold them to maturity. Also of note, the exposed Gator Re cat bond recovered some of its discount.

November was the first month since February with no new catastrophe bonds completing, giving investors a lull before the inevitably busy end of the year and contributing to a modest months trading in the secondary market for cat bonds.

The two catastrophe bonds issued during the month of October went some way towards satisfying a little of the excess demand for insurance-linked securities (ILS) and as a result stimulated some rebalancing of investors secondary cat bond portfolios during the month.

The lack of hurricane activity in the tropical Atlantic contributed to a slow secondary market for catastrophe bonds and insurance-linked securities during the month of September, according to some ILS investment fund managers.

The secondary market for catastrophe bond and insurance-linked securities notes saw typical seasonal activity in August apart from a notable lack of any threat from U.S. hurricanes. Seasonality has seen U.S. wind cat bond spreads tighten, despite the lack of any U.S. wind so far this year.

The month of July saw the recent higher activity levels in the secondary market for catastrophe bonds persist, as investors further rebalance portfolios in order to take on new cat bond issues and some investors continued to take advantage of recent price rises to capitalise on mark-to-market gains.

Trading volumes in the secondary market for catastrophe bond notes have picked up in the last couple of months, according to investment managers and trading desks. The key reason for this heightened trading activity has been the high issuance seen in the primary market into June, but other factors also served to make the secondary […]

The Bermuda Stock Exchange (BSX) is now powered by a new technology platform which it hopes will supercharge its ability to facilitate and act as an exchange for trading in securities including catastrophe bonds and insurance-linked securities. The BSX has chosen the NASDAQ OMX Group, Inc.’s X-stream trading platform to power the exchange bringing significant […]

Reinsurance broker Guy Carpenter has added to its capital markets and insurance-linked securities team, bolstering its secondary catastrophe bond and ILS trading capabilities, with a new hire made towards the end of last year. Sung Yim, an ex-Goldman Sachs and secondary cat bond and ILS trading specialist, joined GC Securities as its first person dedicated […]

Here’s a fascinating development which could have significant ramifications for the market in catastrophe bonds and insurance-linked securities, particularly in the secondary market trade in Rule 144A securitized notes. The Cayman Islands Stock Exchange (CSX) has told us that it is planning to allow full trading and transfer of any listed catastrophe bond or ILS […]