Insurers turn to catastrophe bonds to offload data centre risks
Industry explores raising capital from alternative investors to cover AI mega-projects
Related reading
Lenders struggle to find insurance cover for mega data centre projects
Lack of sufficient cover means some investors are walking away from deals
Banks seek to offload risk to avoid ‘choking’ on data centre debt
Global lenders explore private deals and risk transfers to cut exposure to AI boom
Measuring risk in the AI financing boom
A shift towards debt raises the potential fallout from the data centre spending spree
Investors seek protection from risk of AI debt bust
Trading in insurance-like products that protect against tech company defaults is booming
Asset managers fight for retail access to catastrophe bonds
Surging sales of the insurance-linked product have enabled small investors to bet on natural disasters
Deutsche explores hedges for data centre exposure as AI lending booms
Executives discussing options including shorting basket of artificial intelligence stocks or using derivatives to transfer risk