00:00It's Benzinga, bringing Wall Street to Main Street
00:02The catastrophe bond market posted record issuance in 2025 as investor demand surged
00:08for the insurance-linked securities, according to CNBC. Cat bond issuance reached $25.6 billion
00:16across 122 transactions, exceeding the prior annual record of nearly $17.7 billion set in 2024.
00:23The market also recorded 15 first-time sponsors. Swiss Re said larger deal sizes,
00:30new sponsors, and expanded risk coverage drove growth. Roughly 60% of cat bonds have
00:36three-year terms, with many expected to renew in 2026. Swiss Re estimated issuance could reach
00:43about $20 billion in 2026. Investors cited equity-like returns, low volatility,
00:49and low correlation as key drivers, while Fitch ratings warned that rising capital could
00:55pressure returns. For all things money, visit Benzinga.com.
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