Fresh capital will enter the insurance linked securities (ILS)
market, but while catastrophe bond deals successfully closed for
year-end, others failed to complete, suggesting there's no rush
to enter the space, according to Brad Adderley, Bermuda Managing
Partner.
As this report shows, fourth-quarter catastrophe bond issuance
significantly dropped year-on-year and came in below the ten-year
average for the quarter.
As the market navigates what's expected to be a very late
and prolonged reinsurance renewals season, the usual flurry of
start-ups and capital raises is nowhere to be seen. After all,
it's said that investor sentiment is cautious.
In light of this, we spoke with Appleby's Adderley about cat
bond market dynamics and what this means for issuance in 2023.
