Cat bond to cover Turkish earthquake risksReprints
GC Securities, a division of MMC Securities Corp., has completed placement of a $100 million catastrophe bond benefitting the Turkish Catastrophe Insurance Pool, GC Securities said in a statement Wednesday.
Bosphorus Ltd. Series 2015-1 Notes provide three years of per occurrence protection for earthquakes affecting the Istanbul region.
The bond is triggered based on certain ground motion measurements captured at certain seismometers that are part of the Istanbul Early Warning and Rapid Response System.
The system is operated by Boğaziçi University Kandilli Observatory and Earthquake Research Institute with logistical support from the Istanbul Governorate, Istanbul Metropolitan Municipality and First Army Headquarters, according to the statement.
“The capital markets have continued to forge a symbiotic relationship with TCIP, and this has been demonstrated by the overwhelming investor support given the oversubscription of orders seen during the bookbuilding process for the Bosphorus Ltd. transaction,” Chi Hum, global head of ILS distribution, GC Securities, said in the statement.