Introduction The Convergence of the Insurance and Capital Markets by Richard L. Sandor, PhD, Hedge Financial Products Part I: The New Risk Transfer (and Investment Portfolio) Tools Rethinking Risk: Across Traditional Boundaries by Donna Hill Exchange-Traded Insurance Derivatives: Catastrophe Options and Swaps by Sylvie Bouriaux, Chicago Board of Trade, and Michael Himick, Meridian Communications Second-Generation OTC Derivatives and Structured Products Catastrophe Bonds, Catastrophe Swaps, and Life Insurance Securitizations by Richard H. Bernero, Bankers Trust Legal and Regulatory Issues Affecting Insurance Derivatives and Securitization by Michael P. Goldman, Michael J. Pinsel, and Natalie Spadaccini Rosenberg, Katten Muchin & Zavis Part II: The (Old and New) Market Players Insurance Firms' New Edge: Capital Market Ventures by Bernard L. Hengesbaugh, CAN Catastrophe Risk as an "Alternative Investment" by Adam Parkin, The Rangeley Company Reinsurance Brokers Redefined by Frank Majors and Greg Hagood, Willis Corroon Catastrophe Management The Role of Computer Modeling in Insurance Risk Securitization by Tom Hutton, Risk Management Solutions, Inc. Insurance Risk Securitization, Model Robustness, and the Convergence of Event and Credit Risk: A Rating Analyst's View by David K. A. Mordecai, AIG Risk Finance - formerly of Fitch IBCA Index