Posts Tagged ‘capital’



July 26th, 2017

Public Sector Risk Financing Perspectives – Pandemic Risk: Part II

Posted at 1:00 AM ET

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Cory Anger, Global Head of ILS Structuring, GC Securities*

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As investors become comfortable with pandemic risk, alternative capital is beginning to pivot its capacity to providing more action oriented pandemic protection during the beginning or ongoing phases of a pandemic (1) rather than focusing solely on replenishing capital post-event. Alternative capital also has the ability to provide multi-year protection when interim response structures are important for governmental organizations such as development banks, health organizations and sovereigns, to rapidly manage the needed monetary support. The goal is to contain and mitigate epidemics at their origin and prevent their potential global migration. The migration may impact key industries (tourism, hotels and transportation) and government budgets.

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July 25th, 2017

Public Sector Risk Financing Perspectives – Pandemic Risk: Part I

Posted at 1:00 AM ET

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Cory Anger, Global Head of ILS Structuring, GC Securities*

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Public entities’ use of capital markets-based risk transfer capacity for the assumption of natural disaster losses, such as the cost of emergency relief and infrastructure and property damage has demonstrated success in de-risking public sector balance sheets. Capital markets innovators are beginning to leverage the outcomes achieved in the natural disaster sphere to other types of public sector severity losses, notably pandemic diseases. The capital markets may help fund resources to rapidly contain the spread of a pandemic, share the burden of associated medical expenses and/or manage the financial impact of the higher mortality rates.

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July 13th, 2017

Excess Capacity in This Year’s Florida Market: Part II: Lara Mowery

Posted at 1:00 AM ET

mowery_lara_bio6In an interview Guy Carpenter’s Lara Mowery, Managing Director, discussed the drivers of the continuing rate reductions in Florida and what it means for the rest of the market. Here she discussed the role of excess capacity at the June 1 renewals.

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June 28th, 2017

Guy Carpenter Launches GC Asia Pacific Retro

Posted at 11:00 PM ET

Guy Carpenter & Company today launched GC Asia Pacific Retro, a new unit offering dedicated retrocession services to clients in the Asia Pacific region.

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June 28th, 2017

GC Securities* Supports First Ever World Bank Catastrophe Bonds and Catastrophe-linked Swaps to Combat Infectious Disease

Posted at 9:31 PM ET

GC Securities, a division of MMC Securities LLC, a U.S. registered broker-dealer and member FINRA/NFA/SIPC, participated in today’s pricing of bonds and catastrophe-linked swaps supporting pandemic risk. Part of an innovative new public-private partnership aimed at improving global resiliency and health security, the mechanism provides surge funding to developing countries facing a possible pandemic outbreak. GC Securities served as co-manager of the bonds and joint arranger of the swaps. Data from the World Health Organization (WHO) was used by AIR Worldwide to provide expert risk modeling.

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June 15th, 2017

Industry Must Bend the Risk Curve to Deliver Value, Says John Doyle; MMC Young Professionals’ Global Forum 2017

Posted at 8:44 AM ET

John Doyle, President of Marsh LLC, called upon delegates at the MMC Young Professionals’ Global Forum to take advantage of the multiple opportunities in the current environment which he called the “Age of the Client.”

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June 15th, 2017

Insurance Industry Ripe for Disruption, Says VJ Dowling; MMC Young Professionals’ Global Forum 2017

Posted at 4:30 AM ET

The insurance industry will be profoundly disrupted by technological change, Vincent J. Dowling Jr., Managing Partner of Dowling & Partners Securities LLC, told attendees at MMC’s Young Professionals’ Global Forum in London.

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June 9th, 2017

Expanding Range Of Capital Sources Offers Benefits: Part II

Posted at 1:00 AM ET

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David Priebe, Vice Chairman and Cory Anger, Global Head of ILS Origination and Structuring at GC Securities*

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“Historically, traditional reinsurers increase their premium rates after industry catastrophe events in order to replenish capital and attract new capital, with the goal of reaching overall premium rate adequacy and restoring returns on equity to levels more consistent with what is expected of equity capital,” David Priebe, Vice Chairman at Guy Carpenter, explains. “However, GC Securities has found that significant pricing increases will be difficult to sustain for short periods because of the inflow of new capital that typically follows catastrophe events. Alternative capital is already making contingency plans with funds created so that they can inflow new capital rapidly post-event. The difficulty in sustaining price increases means that premium rate adequacy is even more critical in soft markets when capital is abundant. (Re)insurers need to evolve by reassessing business models for more efficient allocation of risk to capital sources.”

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June 8th, 2017

Expanding Range Of Capital Sources Offers Benefits: Part I

Posted at 1:00 AM ET

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David Priebe, Vice Chairman and Cory Anger, Global Head of ILS Origination and Structuring at GC Securities*

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Industry Must Adapt to Emerging Segmentation Phase

Pricing declines continued in the insurance-linked securities (ILS) segment of alternative capital. In turn, this has prompted questions about the sustainability of lower pricing and capacity post-catastrophe event, suggesting that traditional reinsurers’ models and the traditional reinsurance and alternative capital mix of capital sources still need to evolve. Maintaining premium rate adequacy and stable capacity requires better access to the expanding sources of capital and awareness of the benefits of better risk syndication and segmentation, according to David Priebe, Vice Chairman at Guy Carpenter and Cory Anger, Global Head of ILS Origination and Structuring at GC Securities.

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March 23rd, 2017

Strategic Growth Analysis – The Guy Carpenter Approach: Part II

Posted at 1:00 AM ET

chu_julia_photograph-smJulia Chu, Managing Director

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The analysis progresses with a retrospective financial analysis that demonstrates “what if” the company had a share of the wallet in that particular business. Synergies between the existing business and growth opportunities can be exposed. Our research compares annual volatility, which is the standard deviation of ten or more years of a company’s underwriting margin, with the pro-forma profitability or five year average underwriting margin if the company had written specific businesses.

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