Why Catastrophe Bonds Yield 12%. Should You Invest?
About this episode
This episode discusses the investment potential of catastrophe bonds and their unique structure in the context of natural disasters.
A new ETF allows individuals to earn income by insuring against natural disasters through investing in catastrophe bonds. We break down the historical returns, risk, fees, and structure of this intriguing investment opportunity. Topics covered include: What types of natural disasters are increasing How insurance companies use reinsurance and cat bonds to protect against extreme losses Why home insurance premium increases should be lower in 2026 How cat bonds are structured and what makes them a unique fixed income security What to consider in deciding to invest in cat bonds. Sponsors Gelt - Taxes Done Right Delete Me – Use code David20 to get 20% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Investments Mentioned Brookmont Catastrophic Bond ETF (ILS) Stone Ridge High Yield Reinsurance Risk Premium Fund (SHRIX and SHRMX) Show Notes Miami Is Entering a State of Unreality by Mario Alejandro Ariza—The Atlantic Historical Hurricane Tracks—NOAA LA fires dominated insured losses of $127bn in 2025, says Aon by Eva…
People in this episode
Host: J. David Stein
Topics covered
- catastrophe bonds
- investment opportunities
- natural disasters
- insurance
- reinsurance
- fixed income securities
Keywords
- catastrophe bonds
- ETF
- investment
- insurance
- natural disasters
- reinsurance
- fixed income
Sponsors
Gelt, Delete Me
Mentioned in this episode
Organizations: Aon, Berkshire Hathaway, Munich RE
Products: Brookmont Catastrophic Bond ETF, Stone Ridge High Yield Reinsurance Risk Premium Fund
Books & works: Miami Is Entering a State of Unreality, Historical Hurricane Tracks, 2026 Climate and Catastrophe Insight, When, Where and How Often Insurers Fail
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