Hurricane Simon Intensifies, Threatening Mexico Catastrophe Bond Market
1 report, 1 independent
Updated Fri 00:00
AI-generated briefing. Brind wrote this from the reports listed below. It can be wrong. Each section says how much you can rely on it, and the sources are linked so you can check.
What happened
Hurricane Simon is rapidly intensifying in the Pacific and is forecast to make landfall on the Mexico coastline on Sunday. The storm, currently a Category 1 storm, is expected to become a major hurricane. This situation brings the $175 million IBRD CAR Mexico 2024 (Pacific) parametric catastrophe bond back into focus.
From artemis.bm
Why it matters
The potential for Simon to sustain major hurricane strength poses a threat to the parametric catastrophe bond. Although only a single tranche of the Mexico IBRD deal is exposed to the storm, the event highlights the market's sensitivity to tropical weather risks.
From artemis.bm
Who's involved
- SimonThe storm rapidly intensifying and forecast to make landfall on the Mexico coastline.