Reported about 1 month ago
Fermat Capital Management, a major player in the catastrophe bond market, experienced a decline in returns this year due to widespread fears over a potentially severe hurricane season. While their returns aligned with the 5.8% increase of the Swiss Re Global Cat Bond Performance Index, it was significantly lower than the previous year’s performance. Investors reacted to forecasts of an active hurricane season, leading to increased selling pressure in the secondary market, marked by a notable drop in returns during May.
Source: YAHOO