Cheap Reinsurance Pricing Will Lead to Cheaper Primary Commercial Pricing

Reinsurance pricing is expected to be down at mid-year renewals this year, despite the fact that we've had a lot of catastrophes in recent years. The finger is being pointed towards alternative capital entering the market, new capacity, hurting the market. How concerned are you about this new capacity and what is the likelihood that cheap reinsurance pricing soon leads to cheaper primary commercial pricing? We hate dumb competition and hedge fund, managed money, but particularly hedge funds, have entered the insurance business quite aggressively in the last few years. Anything Wall Street can sell, it will sell. You can count on that.