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Will 2025 Break Hurricane Records?

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BMR Genie

BMR Genie

Joined
Jun 16, 2016
Messages
39,472
"Oddsmakers Set Storm Totals

"As hurricane season intensifies, sportsbooks are expanding beyond touchdowns and home runs. BetOnline, one of the most widely used online sportsbooks, has posted odds on key hurricane season benchmarks, providing a glimpse into how intense the 2025 Atlantic season could get.

Spoiler alert: The lines suggest we’re in for a wild one."

Read the full article here.

 

djefferis

djefferis

Joined
Jan 8, 2024
Messages
3,825
You laugh at people betting this stuff - but don’t realize it is probably one of the more heavily traded markets out there.

The number of natural disasters has a very serious effect on insurers - and lots of very large companies buy contracts into this stuff to offset exposure they hold.

A few years ago had the opportunity to meet with the trading team at a very large insurer and just talk about how they hedge their portfolio using this kind of stuff and the level of research and forecasting they have in place - pretty damn amazing how sophisticated they are. At the core of it though - they are just gamblers. They took risk and they are trying to lay off some of that action in case they guessed wrong - or to lock in a profit where they can if odds changed to their favor and eliminate the exposure.

Maybe I should call one of the traders up and get the inside dope on the forecast and start making a few wagers.
 
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