Catastrophe Bonds Signal Coronavirus Nearing Pandemic Status

According to this recent article published by Tasos Vossos on Bloomberg Markets: “The World Health Organization says the coronavirus isn’t yet a global pandemic. Bonds that insure against‧‧‧

According to this recent article published by Tasos Vossos on Bloomberg Markets:

The World Health Organization says the coronavirus isn’t yet a global pandemic. Bonds that insure against just such a catastrophe say that it probably is. The bonds, sold in 2017 by the World Bank to raise money for poor countries in a global pandemic, are quoted as much as 40% below their face value following coronavirus outbreaks around the world, according to investors who own the securities“.

Although I personally believe this to be the result of a market overreaction, it is also uncertain what the impact on the world economy would be.

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    As an Investment Consultant and Specialist, Pompeo Pontone is a Professional Investor with 25 years’ experience in the fields of Investment Management, Quantitative Finance & Derivatives Trading and Data Science.

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