Marginal gains theory plays out as cat bond funds proliferate
  • X
  • LinkedIn
  • Show more sharing options
  • Copy Link URLCopied!
  • Print
  • X
  • LinkedIn

© 2024 Insider International Limited, company number 15236286, 4 Bouverie Street, London, EC4Y 8AX. Part of the Delinian Group. All rights reserved.

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Marginal gains theory plays out as cat bond funds proliferate

cat events cat bonds funds.jpg

In a cat bond market of $40bn, the scope for differentiation between strategies is narrow, meaning that managers must leverage the accumulation of small advantages to gain an edge on the competition.

“You can’t differentiate from a benchmark return,” said one consultant to Trading Risk, citing the tendency for performance to cluster in a small-size market with multiple managers of $3bn-$10bn.

However,

Request a free trial:

Fuel a smarter strategy with our actionable market intelligence

    • Gain a competitive edge and accelerate decision-making
    • Be empowered by insights that transform confusion to clarity
    • Uncover growth opportunities and prepare for potential threats
Gift this article