Kane SAC, a subsidiary of Kane, has launched a private catastrophe bond platform from which it has initially issued $9.5 million of Series 1-2013 notes.
The platform, called Kane SAC Limited Note Program, will allow smaller transactions access into the collateralized reinsurance sector.
“Our goal is to reduce both time to market and structuring costs by providing a very standardized and efficient means for investors to access the reinsurance markets,” said Robert Eastham, managing director at Kane.
The debut deal to be launched from the platform features underlying risk ceded from the Texas Windstorm Insurance Association (TWIA).
The Series 1-2013 notes are exposed to U.S. North American wind risks. The notes have a one year risk period, being due on the 5th of July 2014 but extendable until 1st August 2019.
Kane has listed the transaction on the Bermuda Stock Exchange, according to a company press release. It is the first time notes issued by a segregated accounts company have been listed on the BSX.
“Our decision to list the notes on the BSX was due to investor demand and means that they are now available in a tradable format, which we feel will significantly heighten their overall value to the investment community,” said Eastham.