One of my favorite market datasets just got its annual update. Aswath Damodaran at NYU publishes a yearly update of returns for stocks (S&P 500), bonds (10 year Treasuries), cash (3-month T-bills), real estate, gold and inflation going back to 1928. Plus this year he added small caps to the mix.1 These are the long-term … Read more
Artemis has learned that FEMA has increased its estimate for National Flood Insurance Program (NFIP) losses from hurricane Helene, raising the figure to $6.75 billion and as a result two FloodSmart Re catastrophe bond tranches have had their maturity dates extended, with partial repayments of principal to be made.The U.S. Federal Emergency Management Agency’s (FEMA) … Read more
What caught my eye this week. The first few days of a new year are often an anti-climax. It turns out the problems we had last year aren’t magically wiped away by how human beings decide to formally turn a page. However this time there’s déjà vu in the mix too. Because early 2025 has … Read more
On a relative basis, catastrophe bonds have rarely presented a more compelling investment opportunity than today, as despite spreads having tightened somewhat the cat bond asset class diversification offering can be at its strongest when other assets like equities are overvalued, fund manager Icosa Investments has said.Previously, the investment manager has explained that with catastrophe … Read more
K2 Advisors, the hedge fund focused investment management unit of Franklin Templeton, has maintained its overweight view on the catastrophe bond and broader insurance-linked securities (ILS) asset class for the fourth-quarter, citing opportunities it sees in the market as well as the still historically high yields that are available.The investment manager says, on ILS in … Read more