Pension funds conservatively manage $30 trillion, and if 15% of those funds were allocated to alternative investments, and 15% of this alternative investment portfolio were allocated to catastrophe-related risk, that would cast $675 billion in search of some kind of cat risk exposure. 

“That’s a lot of capital trying to get into the sector, and that’s not even including sovereign wealth funds, hedge funds and other types of funds,” said David Flandro, head of business intelligence at Guy Carpenter & Co. 

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