Disaster bond maturities are a major supply of liquidity and money for the market, which is usually reinvested into new cat bond points and as such the schedule of upcoming cat bond maturities is a key indicator for sponsors and broker-dealers, in addition to cat bond funding fund managers.
To assist our readers perceive what’s coming, we’ve added a brand new interactive chart to our suite of disaster bond and insurance-linked securities (ILS) knowledge visualisations and analytical instruments.
Now, with Artemis, you may view and analyse the upcoming disaster bond maturity schedule by quarter and by month, to assist in your decision-making and to better-inform market timing.
Because the disaster bond market has grown over current years, there are durations of scheduled cat bond maturity the place a major quantity of danger capital might be freed up, get returned to buyers and cat bond asset managers, needing to be redeployed the place issuance ranges permit.
That is each necessary for buyers and fund managers to maintain watch of, in order that they time new investor inflows with durations of robust maturities in thoughts, in addition to for these sponsoring and bringing new cat bonds to the market.
In truth, Artemis’ knowledge, which you’ll see above and will be analysed utilizing our new interactive chart right here, exhibits that due to rising issuance the second-quarter cat bond maturity load is changing into actually fairly vital.
It’s because Q2 has all the time been one of many busiest quarters for disaster bond issuance and because the market’s exercise degree has elevated, so too does the forward-maturity schedule for that interval with the vast majority of offers being a sure variety of fastened calendar years in size.
Which is why, as our disaster bond maturities chart exhibits, Q2 2025 sees over $5.8 billion of cat bond maturities scheduled, however Q2 of 2026 and 2027 each see over $7 billion every.
The height month for upcoming disaster bond maturities is at the moment June 2026, with simply over $4.4 billion of cat bonds scheduled to mature in it.
Durations of serious cat bond maturities may end up in some unfold compression, as cat bond fund managers and buyers look to place money again to work.
They’ll additionally lead to new issuances changing into oversubscribed extra usually, making for engaging durations of issuance situations for sponsors to enter the market with a brand new deal, hoping for stronger execution as buyers and fund managers search to place their liquidity again into the market.
As cat bond issuance will increase and so too we get bigger bursts of maturities, the flexibility of the market to recycle money into new offers and by way of the secondary cat bond market buying and selling desks turns into more and more necessary.
Effectively and successfully recycling capital is a crucial part of the position of an ILS fund supervisor.
Some would possibly say, it may be less complicated to recycle capital from maturing offers within the disaster bond market, the place there’s secondary liquidity and issuances (renewals) many of the means by way of the yr, than within the conventional reinsurance and retrocession market the place exercise stays so centered on only a handful of key renewal dates.
We hope our new chart displaying the forward-schedule for disaster bond market maturities proves useful and we’ll replace it with each issuance and maturity, to maintain the info correct and recent for our readers.
The Artemis Deal Listing lists all disaster bond and associated transactions accomplished because the market was shaped within the late 1990’s. The listing additionally lists the cat bonds ready to settle, that are highlighted in inexperienced on the high of the checklist.
Analyse the disaster bond market utilizing our charts and visualisations, that are saved up-to-date as each new transaction settles.
Obtain our free quarterly disaster bond market experiences.
We observe disaster bond and associated ILS issuance knowledge, probably the most prolific sponsors available in the market, most energetic structuring and bookrunning banks and brokers, which danger modellers characteristic in cat bonds most incessantly, plus way more.
Discover all of our charts and knowledge right here, or by way of the Artemis Dashboard which gives a useful one-page view of cat bond market metrics.
All of those charts and visualisations are up to date as quickly as a brand new cat bond issuance is accomplished, or as older issuances mature.
