Catastrophe bonds

The Australian investor made 5.0% on its ILS investments in the 12 months to 31 March.

The firm’s Medici and Fontana vehicles were hit by foreign exchange losses.

The company’s property segment booked a combined ratio of 57.6%, 13.8 points higher compared to Q2 2021 due to a higher attritional loss ratio.

The company has taken almost half its retention on a $225mn calendar-year aggregate reinsurance deal.

The firm assigned a neutral outlook overall to ILS but is strongly positive on many non-life risks as it seeks diversifying strategies that can withstand inflation.

Last year’s inaugural Randolph Re issuance was sized at $50.7mn.

The initiative follows the success of last year’s Jamaica cat bond.

Inflationary pressure, increased demand and negotiations over attachment points are among the factors that reinsurers believe are ramping up pressure in the catastrophe space.

Its half-year gain was down slightly from 1.43% in the prior year period.

Its total risk transfer programme is sized at just over $9bn, down $400mn from year-end 2021.

Private ILS strategies boosted overall sector performance as cat bonds continued to lag.

Marsh McLennan’s Bermuda platform issued $68.3mn in private deals last year.