Investors in Jamaica’s catastrophe bond now face a full trigger event that would force payment of the entire $150 million bond to help the island deal with fallout from Hurricane Melissa.
That’s according to Florian Steiger, chief executive of Icosa Investments AG, a Swiss investment firm specializing in alternative fixed-income strategies.
“We expect the cat bond to pay out in full or at least close to it,” he told Bloomberg on Tuesday.
Jamaica’s cat bond, which was arranged by the World Bank, is designed as the ultimate backstop to help provide funds to pay for only the most ...
