The Arctic & High North

A new investment frontier requires a different approach to risk.

The Arctic economy sits at the intersection of some of the defining economic forces of the coming decades: critical-mineral security, infrastructure investment, changing maritime logistics, energy security, defense modernization, telecommunications and geopolitical competition.

But opportunity in the High North is inseparable from complexity.

Distance, climate, infrastructure constraints, permitting, financing, community participation, sovereignty and geopolitics can fundamentally alter project economics.

Resolution Consulting evaluates these risks from the perspective of capital.

Arctic Investment Risk

Independent assessment of prospective investments, companies and projects operating across the High North.

We examine:

  • political and regulatory risk

  • project economics and execution risk

  • infrastructure dependencies

  • financing and capital requirements

  • counterparties and strategic partners

  • communities and Indigenous economic participation

  • geopolitical exposure

  • long-term investment catalysts

  • A mineral deposit is not an investable mine simply because the resource exists. Resolution evaluations the infrastructure, permitting, financing, logistics, and political conditions required to transform strategic resources into viable commercial projects.

  • Northern economic development will require increasingly sophisticated transportation networkss. Our research examines ports, project cargo, commodity flows, shipping infrastructure, trade corridors, and the commercial risks associated with operating in remote northern environments.

  • The Arctic increasingly connects commercial investment with national economic and security policy. Resolution evaluates how defense investment, sanctions, critical infrastructure policy, strategic competition, trade policy and sovereignty considerations can affect private capital.

Geographic Focus

NORTHERN CANADA | ALASKA | GREENLAND | ICELAND | NORWAY | SWEDEN | FINLAND | RUSSIA

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Catastrophe Insurance - An Unprecedented Market

As the world keeps heating up, the 500 year floods keep rolling in, and the category 4 and 5 hurricane and typhoons because a yearly event, catastrophe risk, reinsurance, and cat bonds are becoming more and more attractive. The demand for these insurance products have increased exponentially. https://seekingalpha.com/article/4360139-reinsurance-pricing-to-catch-up-demand-expected-to-rise-analysts

For governments, businesses, and even private individuals the attractiveness of insuring against “acts of God” or unpredictable catastrophic events is only met by increasingly expensive catastrophic insurance packages. The insurance industry, governments, and central banks will need to gather to discuss how to meet this demand, and insure against catastrophes that are becoming more and more expected, but continuously unpredictable. https://www.openpr.com/news/2099899/business-catastrophe-insurance-market-to-witness-massive

The growth in this market is expected to explore between 2020 to 2025. What does that mean for your business? What does that mean for your industry? The health and pharma industry, in light of the Covid-19 outbreak and pandemic, will face an influx in government investment, and a reckoning after the pandemic dust has settled on how they account for and price their services. The insurance industry may well face the same for catastrophe insurance. Insuring the uninsurable has its costs, but what do we do when the people who need this type of insurance the most can’t pay?

Sound off in the comments or in the form? What type of insurance product do you want to see? How do we calculate the risks associated with cat bonds and catastrophe insurance in light of seemingly more frequent catastrophes? Share your thoughts in the form below and I’ll highlight in the next insurance newsletter.

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