Cyber risk in the ILS market is still a very new area, and the understanding of it, while increasing, does remain relatively limited as a result. “As of today, Solidum has not yet invested into cyber bonds, but is closely monitoring the developing market. Solidum will consider cyber as a satellite allocation, but will select only those cyber Cat Bonds that are carefully structured and pass a detailed and stringent scenario testing. As an example, one could add a similarly yielding, higher risk “Nat-cat” Cat Bond to the portfolio. The cyber bond has to be at least as attractive, so one must not forget or neglect alternatives in the more traditional space of ILS.”As a reminder, you can read about every cyber cat bond transaction, including the first private cat bond deals and the more recent 144A cyber cat bonds, by filtering our Deal Directory by peril to view only cyber cat bond transactions.