found: Work cat.: Mayo, A. Pricing of CAT bonds, 1998:p. 1 (Catastrophe (CAT) bonds are one of the more recent financial derivatives to be traded on the world markets)
found: Wikipedia, via WWW, July 28, 2006(Catastrophe bonds (also known as cat bonds) are risk-linked securities that transfer a specified set of risks from the sponsor to the investors. They are often structured as floating-rate corporate bonds whose principal is forgiven if specified trigger conditions are met. They are typically used by insurers as an alternative to traditional catastrophe reinsurance)
found: Investorwords.com, via WWW, July 28, 2006(Catastrophe bond -- A high-yield, insurance-backed bond containing a provision causing interest and/or principal payments to be delayed or lost in the event of loss due to a specified catastrophe, such as an earthquake)
found: Investopedia.com financial dictionary, via WWW, July 28, 2006(Catastrophe bond -- CAT -- A high-yield debt instrument that is usually insurance linked and meant to raise money in case of a catastrophe such as a hurricane or earthquake. It has a special condition that states that if the issuer (insurance or reinsurance company) suffers a loss from a particular pre-defined catastrophe, then the issuer's obligation to pay interest and/or repay the principal is either deferred or completely forgiven)
