CONVEX MAKES FIRST FORAY INTO CAT BOND MARKET WITH $150M DEAL

Bermudian re/insurer Convex Group, launched last year by Stephen Catlin and Paul Brand, has launched its first catastrophe bond, the $150m Hypatia Ltd (Series 2020-1) multi-peril issuance, Artemis.bm has reported. The deal will reportedly provide the group’s Convex Re division with retrocessional cover against losses from US named storms (including Puerto Rico and the US Virgin Islands) and US and Canadian earthquakes over three years. Cover is to be provided on an annual aggregate basis using a weighted industry loss index trigger. The deal is comprised of a $100m tranche of Class A notes that attaches at $120m of losses and a $50m tranche of Class B notes that attaches at $80m of losses, with each carrying a $30m franchise deductible.