Posts Tagged ‘GC Securities’
GC Securities, a division of MMC Securities Corp., a U.S. registered broker-dealer and member of FINRA/SIPC, today released an analysis of activity and trends within the catastrophe risk market from the fourth quarter of 2013, also including the outlook for 2014. According to the report, influence from direct capital markets’ participation in reinsurance programs, coupled with catastrophic insured losses well below historical averages in 2013, put significant pressure on global catastrophic reinsurance pricing. As a result of significantly reduced pricing, relative to recent years, approximately $7.1 billion worth of new property and casualty (P&C) catastrophe bonds were issued in 2013 - the second highest record year for P&C issuance.
GC Securities* Acts as Sole Financial Advisor on the Second Largest Ever M&A Transaction in the Lloyd’s Market
Executive teams adapting to the changing dynamics of the specialty insurance and global reinsurance markets in an environment of excess capital, growing influence of convergence participants, low investment returns and diminishing reserve releases are presented with a series of strategic dilemmas and opportunities.
Options include maintaining the status quo, returning capital to shareholders and investing in a growth/diversification strategy, either organically or by seeking mergers and acquisitions (M&A) opportunities.
In a reinsurance market with abundant excess capital and where most reinsurance programs are oversubscribed, the need for a meaningful line size or differentiated underwriting contribution has never been more relevant.