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Amid the hype of this month’s “Paradise Papers,” some key ingredients have gone missing—the rest of the story.

The insidious campaign, waged by the International Consortium of Journalists (ICIJ) using data from an illegal hack of Appleby, is well-choreographed and evidently well-funded. Indeed, one speculates how such monies could have been better spent.

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Lutece Holdings Ltd., the insurance-linked securities (ILS) and reinsurance linked investment fund vehicle start-up, is ready to begin underwriting a collateralized retrocession product at the January 1st 2018 renewals, with “a significant amount of committed capital” raised according to its founders.

Lutece Holdings was launched earlier this year, founded initially by Erik Manning, an experienced ILS structuring and broking specialist who had most recently been with Aon Benfield.

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New commitments have been made to the InsuResilience initiative, that seeks to provide direct or indirect insurance coverage to an extra 400 million of the world’s most vulnerable people by 2020, with the German government committing US $125 million to help expand the initiatives remit.

The initiative seeks to bring climate insurance and risk transfer solutions to many more of the world’s poorest, most vulnerable and at-risk communities.

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Contrary to the long-held belief (in some circles) that ILS investors would flee from the market following any major catastrophe losses, the response so far has been extremely positive and at this point in time the interest being shown by investors is perhaps at an all-time high.

John Seo, Co-founder and MD at Fermat Capital, explained in a recent interview, “For better or worse, after a significant loss event many current and potential ILS investors are conditioned to put additional or first-time capital into ILS. As a result, investor interest in ILS is higher now than ever before.

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Multinational insurers are facing increasing blockages to open market access as governments across the globe shift towards a protectionist stance that seeks to favour national business.

Where protectionism was once typically confined to emerging markets, recent geopolitical developments have meant that the otherwise open markets of the West could now veer towards regulation that favours domestic players, warned A.M. Best in its latest Special Report on rising protectionism.

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BlueMountain Capital Management, LLC, a diversified alternative asset manager with over $21 billion of assets, has hired well-known insurance-linked investments specialist Al Selius to run its portfolio of insurance and reinsurance linked assets.

BlueMountain is seeking to expand its presence in the insurance-linked investments space, so the hiring of Selius with his years of experience will help the manager to grow its ILS portfolio.

Selius, most recently a portfolio manager for alternative investment giant Pine River Capital, has joined BlueMountain to oversee the firms insurance-linked investments portfolio.

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The insurance-linked securities (ILS) fund market has experienced its largest ever losses in September 2017, final data from ILS Advisors index of ILS funds performances shows, with the average being a decline of -9.04%.

In total, 33 out of the 34 ILS and catastrophe bond funds tracked by the Eurekahedge ILS Advisers Index saw a negative return during the month of September 2017, as the impacts of hurricanes and earthquakes drove the entire ILS market to a decline.

Following on from a negative August, in which the average return of 34 constituent insurance and reinsurance-linked investment funds sank to -0.34% on the impact of hurricane Harvey, September has been significantly worse for ILS funds, as the impacts of hurricane Irma drove major losses and Maria further still.

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Catastrophe exposed property insurance pricing is expected to rise anywhere from 10% to as much as 25%, depending on whether accounts faced losses during the recent hurricane events, but “still eager” alternative capital providers may dampen the upward pressure on rates, broker Willis Towers Watson said.

In the brokers latest Marketplace Realities report on the property & casualty market, Willis Towers Watson (WTW) said that it forecasts steep rate increases of up to 25% on catastrophe exposed property business.

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The Pacific Alliance trade bloc in Latin America has now signed an agreement with the World Bank to issue a catastrophe bond transaction in 2018 to protect against natural catastrophe events across the member countries.

Earlier this year 2018 had been discussed as the potential year for issuance of a MultiCat deal, and now the Pacific Alliance and the World Bank have cemented risk transfer plans by signing an agreement.

A report from El Universal claims an agreement was signed by Mexico’s Under Secretary of the Treasury and Public Credit, Vanessa Rubio, and the Ministers of Finance of Colombia, Chile, and Peru with the World Bank to pursue a MultiCat catastrophe bond issuance.

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Singapore has pledged to fully fund the upfront cost of local CAT bond issuances from 1 January 2018 through a newly-formed ILS grant scheme, as the city-state seeks to carve out a prominent role in the US$30 billion global catastrophe bond market.

Minister for Trade & Industry (Trade) Lim Hng Kiang announced this in his keynote address to open the 14th Singapore International Reinsurance Conference (SIRC) yesterday. Mr Lim, who is also Deputy Chairman of the Monetary Authority of Singapore (MAS), said the grant programme will be applicable to ILS bonds covering all forms of risks beyond just natural catastrophe.

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