trending Market Intelligence /marketintelligence/en/news-insights/trending/oig78v3nueue4myllusnxw2 content
Log in to other products

Login to Market Intelligence Platform


Looking for more?

Contact Us

Request a Demo

You're one step closer to unlocking our suite of comprehensive and robust tools.

Fill out the form so we can connect you to the right person.

If your company has a current subscription with S&P Global Market Intelligence, you can register as a new user for access to the platform(s) covered by your license at Market Intelligence platform or S&P Capital IQ.

  • First Name*
  • Last Name*
  • Business Email *
  • Phone *
  • Company Name *
  • City *
  • We generated a verification code for you

  • Enter verification Code here*

* Required

In this list

Aon Securities: Catastrophe bond issuance 'relatively low' in Q2

Brazil Pay TV Down Record Amount In 2019, With Losses Continuing In Q1'20

Case Study: Transforming Sales Enablement Data at a Global Advertising and Media Firm

Impact of COVID 19 on US Video Entertainment Trends

Key Credit Risk Factors When Assessing Banks In The Context Of COVID-19

Aon Securities: Catastrophe bond issuance 'relatively low' in Q2

The second quarter saw a "relatively low" catastrophebond issuance at $800 million across five transactions after the record-setting$2.2 billion issuanceacross 10 transactions in the first quarter, according to Aon Securities.

The Aon Benfield investment banking division said in its latestinsurance-linked securities report that the level of risk transferred to capitalmarkets investors has risen steadily since late 2015. The catastrophe bond markethas seen the highest quarterly average risk interest spread in four years duringthe second quarter with a weighted average risk interest spread of 8.40%, correspondingto a weighted average expected loss of 5.05%.

Most of the issuance in the second quarter covered U.S. namedstorm and earthquake risks. Sponsors are increasingly leaning toward aggregate structures,with half of all tranches providing a form of aggregate coverage.

Aon Securities CEO Paul Schultz noted that collateralized reinsurancegrowth continues to surpass catastrophe bond growth.

"Looking ahead, and while the primary market is not typicallyas active during the third quarter, our firm does expect an active second half of2016," Schultz said. "Many investors have capital to deploy which shouldcontinue to lead to further secondary price increases and a relative improvementin attractiveness of the efficiency in the cat bond market."