Artemis Live - Insurance-linked securities (ILS), catastrophe bonds (cat bonds), reinsurance
5: David Flandro, Hyperion X, April 2020 - on insurance & reinsurance impacts of the Covid-19 pandemic
May 11, 2020
25:15
David Flandro of Hyperion X, the data and analytics focused unit of the Hyperion Insurance Group, joined us for a discussion on the insurance and reinsurance market impacts of the Covid-19 coronavirus pandemic.
David told us that, "There seems to be pretty healthy investment appetite for alternative capital products, even products that are non-cyclical rather than non-correlative."
He explained that investors continue to look at reinsurance and ILS as a fairly small proportion of overall pension fund, sovereign wealth fund and other investor assets.
"I don't think this has diminished appetite for ILS very much at all," he said of the pandemic.
"We are getting new investors who are looking for non-correlative assets that are relatively high-yielding, in sectors where rates are going up... and that is what we've been seeing in the reinsurance market."
David told us that, "There seems to be pretty healthy investment appetite for alternative capital products, even products that are non-cyclical rather than non-correlative."
He explained that investors continue to look at reinsurance and ILS as a fairly small proportion of overall pension fund, sovereign wealth fund and other investor assets.
"I don't think this has diminished appetite for ILS very much at all," he said of the pandemic.
"We are getting new investors who are looking for non-correlative assets that are relatively high-yielding, in sectors where rates are going up... and that is what we've been seeing in the reinsurance market."
