The Brookmont Catastrophic Bond ETF is gaining momentum with a surge in trading volumes over the last two months and its assets under management (AUM) surpassing the US $25 million mark.
Brookmont Capital Management, LLC is the manager behind the first US cat bond ETF, while King Ridge Capital Advisors LLC acts as the sub-adviser to the fund and manages the cat bond portfolio for it.
In recent weeks, the volumes of shares in the Brookmont Catastrophic Bond ETF traded each day have been steadily rising.
In fact, between September and November the average daily trading volume has surged by almost 672% for the cat bond ETF, data shows.
The ETF saw its biggest trading day ever just last week, with 217,603 shares trading hands, showing momentum building at an increasing rate for this cat bond investment fund strategy.
With the increased trading volumes, the Brookmont Catastrophic Bond ETF has also been growing its assets under management at a rising pace as well.
In the last week assets under management rose by more than $4 million, taking the Brookmont cat bond ETF over the $25 million mark, to almost $25.3 million as of November 26th 2025.
In fact, assets under management of this cat bond fund have roughly doubled in just the last two months, a much faster pace than was seen prior to September.
Just looking back to August, AUM for the Brookmont cat bond ETF stood at just over $12 million, while the average daily volume of shares traded that month was almost 6,642.
November has seen the fund grow to surpass the $25 million mark, while the average daily trading volume for November surpassed 21.6 million. The ETF’s cat bond portfolio now consists of more than 60 individual positions.
This cat bond ETF has become steadily more available to investors, with the shares accessible through a growing number of trading platforms as well which will be helping to drive momentum.
While trading at higher volumes and, as the data shows, tighter spreads indicates improving liquidity and growing investor interest as well, the fund is clearly gaining traction beyond initial adopters.
This bodes well for the future of the strategy, so we reached out to the team behind it for their thoughts on the momentum currently being seen.
Ethan Powell, Principal & Chief Investment Officer of Brookmont Capital Management, LLC, responded, “Crossing the $25 million and surpassing the break-even milestone is an important proof point for the Brookmont Catastrophic Bond ETF (ticker ILS). It tells us two things: first, that as accessibility improves across major retail platforms, more advisors and institutions are finding room in their portfolios for insurance-linked securities; and second, that there is a real and growing appetite for alternative credit solutions that are not tied to the increasingly frothy corporate private-credit market.
“We believe that as distribution continues to expand and investors recognise the diversifying power of catastrophe bonds, ILS’s asset base will continue to grow.”
Rick Pagnani, CEO & Lead Portfolio Manager, King Ridge Capital Advisors, added, “We’re thrilled to see this kind of momentum. When we launched the first U.S. cat bond ETF, the goal was to give investors a new way to earn steady income while helping close the insurance gap.
“Crossing $25 million in assets and seeing trading volumes surge tells us the market is ready for innovation — and we’re just getting started. Liquidity attracts liquidity, and as spreads tighten and volumes grow, it creates a virtuous cycle that benefits all investors.”
