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The ILS market is seeing a boom in activity in 2017. Bill Dubinsky, managing director & head of ILS at Willis Towers Watson, casts an eye over the year so far.
The insurance-linked securities (ILS) market is firing on all cylinders in early 2017. There is a robust pipeline with a nearly record level of deals completed. ILS funds are raising capital and putting it to work. Sponsors are responding to the attractive spread environment by seeking new protection backed by liquid ILS (cat bonds) as well as continuing to ramp up protection in other forms. A record year seems possible.
While spread levels have exited freefall, they continue to decline as investors put more money to work and grab market share. The breadth of the ILS market continues to expand not only by products and perils but also in the diversity of ILS investor risk-return appetites. This flurry of activity, though, is only part of the story.
Market disruption: past, present, and future
Bill, Dubinsky, Willis, Towers, Watson, insurtech, ILS, outlook, activity