UCITS cat bond fund Index hits 16% return for last 12-months

The Plenum Investments Index that tracks the returns of catastrophe bond funds in the UCITS format has now reached over 16% for the last 12-months, while the year-to-date return has now reached 15.2% for 2023 to the end of November.

Catastrophe bond fund returns continue to deliver very strong performance in 2023, as the much higher spreads and pricing of cat bond based risk transfer continue to drive fund managers results.

The capital-weighted average return of the group of UCITS catastrophe bond funds tracked by Plenum Investments has now surpassed 16% for the last 12-months, as of the latest Index pricing on December 1st.

You can analyse the performance using the Plenum CAT Bond UCITS Fund Indices, which tracks the performance of a basket of cat bond funds structured in the UCITS format, provides a broad benchmark for the performance of cat bond investment strategies.

As we’ve explained before, there are recoveries in value after hurricane Ian to consider, which has helped to propel this year’s cat bond fund returns to near or above record highs.

These UCITS structured cat bond funds remain on-track to set an annual return record, which is going to be challenging to beat in future given the additional performance boost from the recoveries in value of certain cat bond positions after last year’s hurricane proved less impactful than initially feared.

You can analyse interactive charts for these UCITS cat bond fund indices here, or by clicking on the image below.

Year-to-date, by December 1st 2023, the average return of the lower-risk group of UCITS cat bond funds stood at 13.96% and the higher-risk group was 14.35%, while the capital-weighted average reached 15.2%.

With December’s figures still to incorporate, the full-year performance for these UCITS catastrophe bond funds is going to be extremely impressive.

Analyse UCITS cat bond fund performance, using the Plenum CAT Bond UCITS Fund Indices.

Analyse UCITS catastrophe bond fund assets under management using our charts here.