windstorm

The Insurance Futures Exchange (IFEX) has announced that it is expanding its range of event linked futures by listing two new areas on its parent the Chicago Climate Futures Exchange. The two contracts listed are Eastern Seaboard and North East U.S. Tropical Wind, these provide a means to hedge against the less likely (but should […]

Catastrophe bond issuance for 2009 now stands at $1.8b thanks to the latest deal to successfully close, Eurus II. Hannover Re has issued this €150m cat bond to protect itself from European windstorms, covering Belgium, Denmark, Germany, France, United Kingdom, Ireland and the Netherlands. Eurus II is a renewal of a 2006 transaction. Eurus II […]

The Parkton Re cat bond issued by Swiss Re America has closed successfully. The deal which started life at $125m was upsized due to demand to $200m demonstrating again the appetite of investors to diversify investment portfolios into the insurance linked securities arena. Parkton Re, though issued by Swiss Re, is designed to provide them […]

Eurus II, the catastrophe bond nearing the end of it’s marketing phase, from Hannover Re has proved to be a popular one. It’s been upsized from it’s initial €75m size to €150m. Demand from investors was said to high as those with insurance-linked security portfolios seek to diversify away from the usual U.S. hurricane risk […]

Further details have come to light, via the Standard & Poor’s rating announcement, about Hannover Re’s Eurus II cat bond and it’s novel repurchase agreement collateral set up. The deal is being arranged by BNP Paribas and Aon Benfield Securities with AIR Worldwide providing risk modelling services and acting as calculation agent. The E75m deal […]

Hannover Re are planning a return to the catastrophe bond market with a €75m deal featuring non-U.S. perils and a novel approach to the collateral problem. It’s great to hear that Hannover Re are happy to return to the market given that in March they weren’t interested due to the costs being too high. The […]

Two catastrophe bond deals have closed in the past couple of days. The first is the Ianus Capital deal issued by Munich Re to provide them with European windstorm and Turkish earthquake cover. The deal was marketed as a €100m transaction but actually came to market as €50m due to investor hesitance caused by a […]

Finally the International Swaps and Derivatives Association (ISDA) has published a confirmation template which standardises catastrophe swaps referencing U.S. wind events. The document has been discussed for around two years so the market is sure to welcome this. You can download the ISDA U.S. Wind Event Confirmation Template here. By providing assistance in standardisation of […]

The catastrophe bond market is really coming to life this year, and in another demonstration of the resilience of this market under financial market pressures Munich Re is now planning the first deal of this year which covers risks outside of the U.S. Ianus Capital will be a €100m deal which will provide Munich Re […]

Standard & Poor’s have rated the notes of USAA’s planned catastrophe bond, Residential Re 2009. The tranches of the $150m deal, split into three of $50m each, have been rated ‘BB-‘, ‘B-‘ and ‘BB-‘ respectively. Further details of this deal have come to light through the S&P presale report. The deal will cover USAA and […]