ILS Advisers

Our head of ILS & Cat Bonds Timothy Yip will be moderating a panel of #CatBond and #ILS experts at the AIMA - The Alternative Investment Management Association APAC Annual Forum 2025 in #HongKong in two weeks on 28th October 2025 at the JW Marriott. We are looking forward to seeing you there! #AIMAAPAC #AlternativeInvestments #CatBonds #ILS #InvestmentStrategies #RiskManagement #InsuranceLinkedSecurities #CatastropheBonds #AlternativeAssets #InvestorForum #FinanceInnovation #AssetManagement #PortfolioDiversification #ImpactInvesting #MarketTrends #FinancialLiteracy #InvestmentOpportunities #SustainableInvesting #GlobalInvestors #HedgeFunds

ILS Adviers Fund Index Newsletter - August 2025 [+1.58%] 🌪️ Atlantic Hurricane Season Update 🌊 So far, the 2025 Atlantic hurricane season has been relatively calm, with the average ILS fund up by 1.58% in August. Despite the onset of peak hurricane activity, the most significant event was Hurricane Erin, which fortunately veered northward and caused no landfall impacts. The Accumulated Cyclone Energy (ACE) index remains consistent with historical averages, indicating that while storms are forming, they haven't led to catastrophic losses yet. Looking ahead, the basin is now entering the climatological peak of the hurricane season, spanning from mid-August through mid-October. This is typically when atmospheric and oceanic conditions, such as warmer sea surface temperatures, lower wind shear, and increased tropical wave activity are most conducive to hurricane development. As such, hurricane activity is expected to intensity over the coming weeks. In Asia, Typhoon Podul made landfall in Taiwan but caused minimal damage. The cat bond market saw a typical $100m issuance for wildfire coverage in LA, with cat bond prices gaining 0.98% in August. Overall, ILS funds delivered solid returns, with all 32 reporting funds posting gains ranging from +1.04% to +2.70%. 📈 Read the full newsletter for more insights! [https://lnkd.in/gHtsikxu] #HurricaneSeason #Investment #Insurance #ILS #CatBonds #CatBond #CatBonds #CatastropheBond #ILS #InsuranceLinkedSecurities #Reinsurance #RiskManagement #AlternativeRiskTransfer #Investing #Finance #AssetManagement

𝖶𝖾 𝖾𝗑𝗍𝖾𝗇𝖽 𝗈𝗎𝗋 𝗍𝗁𝗈𝗎𝗀𝗁𝗍𝗌 𝗍𝗈 𝗍𝗁𝗈𝗌𝖾 𝖺𝖿𝖿𝖾𝖼𝗍𝖾𝖽 𝖻𝗒 𝖲𝗎𝗉𝖾𝗋 𝖳𝗒𝗉𝗁𝗈𝗈𝗇 𝖱𝖺𝗀𝖺𝗌𝖺. 𝖳𝗁𝖾 𝗁𝗂𝗀𝗁 𝗁𝗎𝗆𝖺𝗇 𝗍𝗈𝗅𝗅 𝖺𝗇𝖽 𝗍𝗁𝖾 𝗂𝗇𝗌𝗎𝗋𝖺𝗇𝖼𝖾 𝗉𝗋𝗈𝗍𝖾𝖼𝗍𝗂𝗈𝗇 𝗀𝖺𝗉 𝗁𝗂𝗀𝗁𝗅𝗂𝗀𝗁𝗍𝖾𝖽 𝖻𝗒 𝗌𝗎𝖼𝗁 𝖽𝗂𝗌𝖺𝗌𝗍𝖾𝗋𝗌 𝗎𝗇𝖽𝖾𝗋𝗌𝖼𝗈𝗋𝖾 𝗍𝗁𝖾 𝗇𝖾𝖾𝖽 𝖿𝗈𝗋 𝖼𝗈𝗆𝗉𝗋𝖾𝗁𝖾𝗇𝗌𝗂𝗏𝖾 𝖼𝗈𝗏𝖾𝗋𝖺𝗀𝖾 𝖺𝗇𝖽 𝗌𝗎𝗉𝗉𝗈𝗋𝗍 𝗂𝗇 𝗏𝗎𝗅𝗇𝖾𝗋𝖺𝖻𝗅𝖾 𝗋𝖾𝗀𝗂𝗈𝗇𝗌. 𝖡𝖺𝗌𝖾𝖽 𝗅𝗈𝖼𝖺𝗅𝗅𝗒 𝗁𝖾𝗋𝖾 𝗂𝗇 𝖧𝗈𝗇𝗀 𝖪𝗈𝗇𝗀, 𝗐𝖾 𝖺𝗋𝖾 𝖿𝗈𝗋𝗍𝗎𝗇𝖺𝗍𝖾 𝗍𝗈 𝖻𝖾 𝗂𝗇 𝖺 𝖼𝗂𝗍𝗒 𝗐𝗁𝖾𝗋𝖾 𝗍𝗁𝖾 𝗂𝗇𝖿𝗋𝖺𝗌𝗍𝗋𝗎𝖼𝗍𝗎𝗋𝖾 𝗁𝖺𝗌 𝖻𝖾𝖾𝗇 𝗁𝖾𝖺𝗏𝗂𝗅𝗒 𝖽𝖾𝗏𝖾𝗅𝗈𝗉𝖾𝖽 𝗍𝗈 𝖾𝖿𝖿𝖾𝖼𝗍𝗂𝗏𝖾𝗅𝗒 𝗆𝖺𝗇𝖺𝗀𝖾 𝖺𝗇𝖽 𝗆𝗂𝗍𝗂𝗀𝖺𝗍𝖾 𝗍𝗁𝖾 𝖺𝖿𝖿𝖾𝖼𝗍𝗌 𝗈𝖿 𝗌𝖾𝗏𝖾𝗋𝖾 𝗍𝗒𝗉𝗁𝗈𝗈𝗇 𝖾𝗏𝖾𝗇𝗍𝗌 𝗌𝗎𝖼𝗁 𝖺𝗌 𝗍𝗁𝗂𝗌. 𝖳𝗋𝗎𝖾 𝗍𝗈 𝖧𝗈𝗇𝗀 𝖪𝗈𝗇𝗀'𝗌 𝗌𝗉𝗂𝗋𝗂𝗍 𝖺𝗇𝖽 𝖺𝗌 𝖺 𝗍𝖾𝗌𝗍𝖺𝗆𝖾𝗇𝗍 𝗍𝗈 𝗈𝗎𝗋 𝖼𝗂𝗍𝗒'𝗌 𝖾𝖿𝖿𝗂𝖼𝗂𝖾𝗇𝖼𝗒 𝖺𝗇𝖽 𝖽𝗂𝗌𝖺𝗌𝗍𝖾𝗋 𝗋𝖾𝗌𝗉𝗈𝗇𝗌𝖾, 𝗇𝖾𝖺𝗋𝗅𝗒 𝖺𝗅𝗅 𝖺𝗋𝖾𝖺𝗌 𝗋𝖾𝗈𝗉𝖾𝗇𝖾𝖽 𝗐𝗂𝗍𝗁𝗂𝗇 24 𝗁𝗈𝗎𝗋𝗌 𝗈𝖿 𝗍𝗁𝖾 𝗉𝖾𝖺𝗄 𝗂𝗆𝗉𝖺𝖼𝗍. 𝖶𝖾 𝖺𝗋𝖾 𝗍𝗋𝗎𝗅𝗒 𝗀𝗋𝖺𝗍𝖾𝖿𝗎𝗅 𝖿𝗈𝗋 𝗍𝗁𝗂𝗌 𝗋𝖾𝗌𝗂𝗅𝗂𝖾𝗇𝖼𝖾. ********* 𝖤𝗏𝖾𝗇𝗍 𝖱𝖾𝗉𝗈𝗋𝗍: 𝖲𝗎𝗉𝖾𝗋 𝖳𝗒𝗉𝗁𝗈𝗈𝗇 𝖱𝖺𝗀𝖺𝗌𝖺 On September 24, 2025, Super Typhoon Ragaasa struck southern China near Yangjiang, Guangdong, as a Category 3 storm with winds up to 120 mph. It narrowly missed Hong Kong, triggering an 11-hour No. 10 typhoon warning and impacting Taiwan and the Philippines. The storm caused severe flooding, with surges up to 9 feet, power outages, and disruptions, including flight cancellations and business closures across Hong Kong, Macau, Taiwan, and Vietnam. Hong Kong experienced two T10 signals in 2025, a rare event not seen in 60 years. Location: Near Yangjiang, Guangdong, China Intensity: Category 3 equivalent, 120 mph winds Surge: Up to 9 feet in the Pearl River Delta Regional Impacts Hong Kong: Winds and flooding affected about 350 downed trees, flooded areas like Fuller Hotel and Tsuen Wan O, injuring ~90 people. Transport and businesses temporarily shut down. Mainland China: The Pearl River Delta saw heavy rain and surges, but was well-prepared. Nearly 2 million were evacuated, with less damage than expected. Taiwan & Philippines: Taiwan reported 14–17 deaths and 152 missing, with severe flooding in Hualien County. In the Philippines, ~48 homes were damaged, mainly in rural areas, with calls for aid in Cagayan. #CatBond #CatBonds #CatastropheBond #ILS #InsuranceLinkedSecurities #Reinsurance #RiskManagement #AlternativeRiskTransfer #Investing #Finance #AssetManagement #InsuranceEvents #Innovation

ILS Advisers Fund Index Newsletter for May 2025 The average ILS fund was up by 0.79% in May as measured by the ILS Advisers Fund Index. May was a quiet month for natural catastrophe activity, with no significant events recorded. Severe convective storms across the Central and Southern U.S. continued at a high pace in May. More than 1000 tornadoes were reported for the first five months of 2025, which is almost 40 percent higher than the 15-year average for the same period. The primary cat bond market was very active. Nineteen new cat bonds were issued during the month, totaling USD 5.9 billion and substantially outpacing the USD 380 million in maturities. This strong level of issuance contributed to a further widening of cat bond spreads across perils. Cat bond prices fell -0.36% in May, resulting in a total return of 0.61% for the Swiss Re Global Cat Bond Index. Pure cat bond funds as a group posted a 0.54% gain for the month, while funds incorporating private ILS strategies were up by 1.19% on average. All of the 31 funds which have reported May returns so far were positive. Performance ranged from +0.35% to +4.41% for the month. For more information about this newsletter or the asset class, please get in touch with us at: [email protected] Note: The ILS Advisers Fund Index measures the performance of Insurance-Linked in-vestment funds. It serves as the first benchmark to enable comparison across various insurance-linked investments within the insurance-linked securities, reinsurance and catastrophe bond in-vestment universe. The index includes funds that dedicate at least 70% of their assets to natural catastrophe risk, ensuring a focused and relevant representation of the market. All index constituents are equally weighted, eliminating size bias, and the Index ex-cludes duplicate funds. It is denomi-nated in local currencies.

We are thrilled and grateful to have been invited to participate in the #IA Insurance Authority's Insurance Linked Securities Conference 2025 (#ILS). This event brings together over 100 key players in the ILS value chain, including (re)insurers, institutional investors, and professional investors. We thank the #IA for their continued leadership and efforts in promoting the asset class in the city. Timothy Yip, our Head of ILS and #CatBonds at HSZ Group's ILS Advisers, addressed several misconceptions surrounding this asset class, which has provided investors valuable portfolio diversification and attractive returns for more than three decades now. As the leading local ILS Asset Manager in #HK Hong Kong and Asia, we are excited to witness the growing momentum and increasing interest in this asset class. Hong Kong stands as a significant hub for reinsurance and risk management, a leading global financial center, and one of the worlds largest wealth management hubs. Positioned in a region facing the world's largest insurance protection gap, we see tremendous potential for the #HK ILS market to thrive for both investors and sponsors. We extend our gratitude to Benjamin Wong from Rockpool Capital Limited and Steve Smith from Maybole Family Office for sharing their insights, experience and expertise as Asia-based investors into this asset class. Their perspectives are invaluable as we explore the opportunities and complementary nature that #Catbonds presents as a true non-correlated asset class for investors' investment portfolios, especially in a world facing unparralled uncertainty and volatility. #CatBonds #ILS #InsuranceLinkedSecurities #Investing #Reinsurance #FinTech #AssetManagement #InvestmentOpportunities #FinancialServices #RiskManagement #CapitalMarkets #WealthManagement #HongKongFinance #ILSConference #AlternativeInvestments #HongKongInvestors #AsiaFinance #AsiaInvesting

ILS Advisers Fund Index Update for March 2025 - U.S. severe weather further erode higher risk multi-peril aggregates - All funds in the ILS Advisers Fund Index report positive results - The average ILS fund was up by 0.82% in March as measured by the ILS Advisers Fund Index. A powerful early-season severe weather system swept across the central and southern U.S. in March, producing numerous tornadoes, hail, and wildfires. These events will further erode multi-peril aggregate ILS positions. On March 28, a devastating 7.7-magnitude earthquake struck central Myanmar near Sagaing, approximately 1,300 km from Bangkok and 850 km from Chiang Mai. The tragic event caused significant destruction, with over 5,500 fatalities in Myanmar and at least 60 in Thailand. Our thoughts are with all those affected by this terrible disaster. While Thailand is not typically considered a high-risk earthquake zone, Bangkok’s soft soil amplifies seismic activity, making it vulnerable to distant quakes like this one. Structural damage has been reported in Bangkok where many high-value properties and infrastructure are concentrated. The ILS market should not be exposed to Myanmar, as it is a sanctioned country. This earthquake will however be an insurance event in Thailand and may trigger some reinsurance coverage. Thailand’s residential insurance market is relatively small compared to its general insurance market, so the majority of claims are expected to arise from commercial, engineering, and construction risks. The primary cat bond market remained robust in March, with 12 new issuances totaling USD 3 billion, compared to USD 0.9 billion in maturities. This substantial net supply is gradually absorbing excess cash in the market. After a period of compression, insurance spreads have now stabilized at healthy levels. In March, cat bond prices gained 0.43%, resulting in a total return of 1.45% for the Swiss Re Global Cat Bond Index. Pure cat bond funds as a group posted a 0.75% gain for the month, while funds incorporating private ILS strategies were up by 0.94% on average. All 29 funds which have reported March returns to the ILS Advisers Fund Index delivered positive returns. Dispersion in performance remained high in February, ranging from 0.43% to 1.50%. For more information, please see the ILS Advisers Fund Index webpage at: https://lnkd.in/gHtsikxu or email: [email protected]