Cat bond and ILS market sees $3.3 billion of new risk capital issued

The catastrophe bond and related insurance-linked securities market saw $3.3 billion of new risk capital issued in the first quarter of the year, but the highlight of the period was an elevated spread environment that indicates of higher returns for investors, Artemis reported. According to its quarterly report, the average spread of issued cat bonds reached an all-time high of 10.5% during the period, reflecting the higher reinsurance rates that cedents are paying.