Catastrophe bonds hit record $25 billion

Asset managers and their clients have more exposure to earthquakes and hurricanes than ever before

Insurers issued a record $8.8 billion of catastrophe bonds in 2014, taking the total volume outstanding over $25 billion for the first time, as demand from pension funds and other big investors remained strong.

The final three months of 2014 were the second-busiest quarter on record, according to the latest report from data provider Artemis, which specialises in insurance-linked securities such as catastrophe bonds.

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