Auction Two results
Lloyd’s has released results for the second of this year’s series of three capacity auctions. A total of £19.m of capacity was traded for an average price paid to acquire capacity of 24.01p. There was a total of £468m subscriptions (offers to buy capacity) and of £47.4m of tenders (offers to sell capacity).
The more meaningful Argenta All Capacity index shows average prices increased by 10.9% from Auction One levels. This measure is weighted by the total capacity owned by third party members of Lloyd’s and gives a better indication of pricing trends.
Once again, the higher prices were reserved for the blue chip syndicates, including Hiscox 33p, up 12.5%, to 60p; QBE 386, up 15% to 62p; Atrium 609, up 12% to 62p; Beazley 623 up 11% to 66p; and MAP 2791 up 15% to 68p. Nuclear Syndicate 1176 (managed by Chaucer) continues to be the highest valued syndicate, which recorded an average price of 186p this time, while the largest increase in price was for Argenta Syndicate 2121, up 52% to 10p.
The final auction will be held on Wednesday and Thursday 7 and 8 November.
The full list of average auction prices can be found here