cat bonds News

Changes in Florence’s Path, Strength Muddy Cat Bond Traders Understanding of Risk

Catastrophe-bond investors are trying to assess the potential fallout from Hurricane Florence and whether they’re in store for painful losses. If the storm’s path of destruction – which is aimed at North and South Carolina – causes enough damage in …

XL’s McGavick Says Hedge Funds May Misjudge Insurance Risks

Hedge funds looking for new investments may be pushing too fast into insurance, said Michael McGavick, the chief executive officer of XL Group Plc. McGavick joins Franklin Montross, the CEO of Berkshire Hathaway Inc.’s General Re, and Ace Ltd.’s Evan …

Buffett Warning Unheeded as Cat Bonds Surge

Bond buyers are betting more than ever on the mercy of Mother Nature as they seek to boost yields being suppressed by central banks. Demand for notes linked to insurance against hurricanes and other natural disasters is prompting investors to …