Archive for the ‘Capital Markets’ Category



October 19th, 2014

Capital – Multiple Issues Require Multifaceted Solutions

Posted at 11:30 PM ET

matt-day-headshot-smMatthew Day, Head of Rating Agency Advisory, Strategic Advisory EMEA - Capital Optimization

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What drives (re)insurer capital planning? Maybe it is risk appetite, internal dynamic capital modeling or actuarial analysis. Or perhaps it is external pressure from regulators, rating agencies or investors. In reality, it is probably a combination of all of these factors. Faced with conflicting views of what constitutes both the available capital and the assessment of the amount required relative to the risk, optimizing (re)insurer capital adequacy is likely to be a key challenge confronting a company. Rarely will the company be able to fully satisfy all the demands. Developing a management framework to evaluate, analyze and compare these divergent needs is therefore essential to extract the maximum efficiency from (re)insurer corporate capital structure.

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October 9th, 2014

Chart: Private Catastrophe Bonds Mid-Year 2014

Posted at 1:00 AM ET

Chart shows the evolution of private catastrophe bonds through mid-year 2014 based on deal count and total aggregate limit placed.

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October 8th, 2014

Chart: Catastrophe Bond Capital Growth Mid-Year 2014

Posted at 1:00 AM ET

Chart shows the growth in 144A catastrophe bonds through mid-year 2014 with capital outstanding reaching a record high.

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October 7th, 2014

Chart: Catastrophe Bonds Versus Various Other Capital Market Assets Classes

Posted at 1:00 AM ET

Chart shows the cumulative return profile of 144A catastrophe bonds (as a proxy for all capital markets-based risk transfer capacity) versus various other capital market asset classes through mid-year 2014.

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September 16th, 2014

Capital Markets Growth and Innovations Continue

Posted at 1:00 AM ET

cory-anger-small2-169 Cory Anger, Global Head of ILS Structuring, GC Securities

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The influx of new capital into the (re)insurance industry constitutes the largest change to the sector’s capital structure in recent memory. Over the past 24 months, approximately USD20 billion of new capital has entered the market through investments in insurance-linked securities (ILS), funds and sidecars as well as the formation of hedge fund-related reinsurance companies and collateralized reinsurance vehicles.

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September 15th, 2014

Influx of New Capital Continues to Reshape the Reinsurance Market

Posted at 10:30 PM ET

2014-sep-capital-markets-cover-image-crGuy Carpenter today published a new report focusing on the growth in the insurance-linked securities (ILS) market during the past year and some of the recent developments in catastrophe bond structure and risk transfer.

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September 15th, 2014

GC Strategic Advisory Update: Reinsurers Ratings Challenged with Negative Sector Outlook

Posted at 1:00 AM ET

mark-murry-small-200 Mark Murray, Senior Vice President

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The major rating agencies covering the reinsurance sector (A.M. Best, S&P, Moody’s, Fitch) have all voiced concerns with the industry’s ability to adjust to the seemingly overwhelming headwinds currently facing the sector. With A.M. Best recently changing its outlook, the view of the reinsurance sector across the rating agencies is now unanimously negative.

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September 14th, 2014

Capital Optimization: Using Internal Reinsurance for Group Capital Management

Posted at 1:00 AM ET

markus-muller-124Markus Müller, Global Partners & Strategic Advisory EMEA, Capital Optimization

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Increased capital efficiency remains at the forefront of (re)insurers’ strategies - owing largely to the pending introduction of the Solvency II regime, rating agency capital requirements and the continued pressure around shareholder expectations.

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September 13th, 2014

GC Videocast - Rendez-Vous Press Briefing 2014 (David Priebe) Capacity From New Sources

Posted at 2:11 PM ET

2014-mc-priebe-photoFocusing on the continuing supply of capacity from new sources, David Priebe, Vice Chairman, Guy Carpenter and Head of GC Securities, said: “Guy Carpenter estimates that the global property catastrophe limit exceeds US$300bn, with non-traditional reinsurance in the form of catastrophe bonds, collateralized reinsurance and industry loss warranties increasing from 14 percent last year to an estimated 16 percent this year. This is double the 8 percent of 2008.” Investor interest in such structures, he added, remained high during the period. “Strong investor demand meant placements were routinely over-subscribed, often by multiples of the targeted size.”

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September 13th, 2014

GC Videocast - Rendez-Vous Press Briefing 2014, Introduction (Alex Moczarski)

Posted at 2:09 PM ET

2014-sep-mc-moczarski-photoAlex Moczarski, President and Chief Executive Officer, Guy Carpenter & Company, and Chairman, Marsh & McLennan Companies International, introduces the Guy Carpenter press briefing at the Monte Carlo Rendez-Vous in this GC Capital Ideas videocast.

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