Until recently, I only knew of the existence of cat(astrophe) bonds — financial instruments used to raise money for insurance against catastrophic events where investors profit when no disaster happens. I had no idea, until reading this Bloomberg article about the success of Fermat Capital Management, how large the space had gotten ($45 billion!!) or how it was one of the most...
The fires in Maui have had a devastating human toll (111 dead, 1000 missing as of this writing). It is not surprising that it’s raising some questions about the role of Hawaii’s utility (Hawaiian Electric/HECO) played in the disaster. While it will take time to sort out the investigation and the class action lawsuit, it’s clear that investors and Hawaiian Electric management...