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| Over the last 18 months, agricultural commodities have become a hot trend for investment funds and index-linked investments. placed $182 million in catastrophe bonds, called Modeled Index-Linked Securities, to help protect American Re and its subsidiaries against heavy losses from East Coast and Gulf Coast hurricanes, along with potential earthquakes in California and the Midwest's New Madrid region. In January 1997, when politicians and policymakers decided to issue index-linked Treasury notes, Treasury officials' reason for implementing the inflation-indexed financing program was to achieve a lower cost of federal funding while expanding the market for U. |
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