Sarik, Vidak - European Commission
... problem: “too-big-to-liquidate,” “too-big-to-unwind,” “too-connected-to-fail,” “too-systemicto-fail,” “too-complex-to-fail,” “too-big-to-discipline-adequately,” “too-big-to-regulate,” “too-big-to-manage,” “too-political-to-fail,” among others. Each of these aspects reflects particular set of problem ...
... problem: “too-big-to-liquidate,” “too-big-to-unwind,” “too-connected-to-fail,” “too-systemicto-fail,” “too-complex-to-fail,” “too-big-to-discipline-adequately,” “too-big-to-regulate,” “too-big-to-manage,” “too-political-to-fail,” among others. Each of these aspects reflects particular set of problem ...
Financial Liberalisation and Crises
... They “also count 211 currency crises and 66 sovereign crises over the period” (p. 226); Eichengreen and Arteta (2002) provide a survey of empirical studies, which show strong evidence of the proposition that financial liberalization increases the likelihood of systematic banking crises; ...
... They “also count 211 currency crises and 66 sovereign crises over the period” (p. 226); Eichengreen and Arteta (2002) provide a survey of empirical studies, which show strong evidence of the proposition that financial liberalization increases the likelihood of systematic banking crises; ...
Pricing Financing in Islamic banking
... nature of their business and its profitability , they possess inside information about the venture they are seeking financing for , adverse selection occurs because the bank has less information, the moral hazard problem because of the ‘hidden’ action motivated by self-interest of the entrepreneurs ...
... nature of their business and its profitability , they possess inside information about the venture they are seeking financing for , adverse selection occurs because the bank has less information, the moral hazard problem because of the ‘hidden’ action motivated by self-interest of the entrepreneurs ...
239 THE ROLE OF MUTUAL FUNDS IN U.S. ECONOMY I
... conditions in which the U.S. Government has kept and still maintain a zero interest rate, during the recession, has been observed that both the net assets and net subscriptions showed a favorable trend in bond and monetary funds. With the uncertainty characterizing financial markets, these two categ ...
... conditions in which the U.S. Government has kept and still maintain a zero interest rate, during the recession, has been observed that both the net assets and net subscriptions showed a favorable trend in bond and monetary funds. With the uncertainty characterizing financial markets, these two categ ...
P a g e 1
... one another. If a large bank should experience difficulties, the contagion to other banks and the rest of the economy can be very serious. This is called systemic risk. Banks' activities have considerable externalities. Few bank failures illustrate this point better than the bankruptcy of Lehman Bro ...
... one another. If a large bank should experience difficulties, the contagion to other banks and the rest of the economy can be very serious. This is called systemic risk. Banks' activities have considerable externalities. Few bank failures illustrate this point better than the bankruptcy of Lehman Bro ...
P a g e 1
... to himself, the liar only to others.” As he has never said anything about the PCAOB, we have to read more at Number 7 below. The Sarbanes-Oxley Act of 2002, which created the PCAOB, required that auditors of U.S. public companies be subject to external and independent oversight for the first time in ...
... to himself, the liar only to others.” As he has never said anything about the PCAOB, we have to read more at Number 7 below. The Sarbanes-Oxley Act of 2002, which created the PCAOB, required that auditors of U.S. public companies be subject to external and independent oversight for the first time in ...
Fund Categories and Basis of Accounting
... It is used to account for the general operations of government and for any activity not accounted for in another fund. Assets in general funds include cash, investment, receivable (unpaid property tax), and receivable from other funds. (Due from other funds). If receivable are not currently due, the ...
... It is used to account for the general operations of government and for any activity not accounted for in another fund. Assets in general funds include cash, investment, receivable (unpaid property tax), and receivable from other funds. (Due from other funds). If receivable are not currently due, the ...
Identifying systemically important financial institutions
... importance induce an opposite effect on the individual risk of a bank. A potential explanation is through the diversification effect. Banks can limit their own individual risk of failing by diversifying their activities. At the same time, this increases commonalities between banks leading to an incr ...
... importance induce an opposite effect on the individual risk of a bank. A potential explanation is through the diversification effect. Banks can limit their own individual risk of failing by diversifying their activities. At the same time, this increases commonalities between banks leading to an incr ...
Financial Flexibility and the Cost of External Finance for U.S. Bank
... data to regulators. To test our model, we treat each bank’s mix of funds—raised from the insured deposit and uninsured liability markets—as their solution to the model’s profit maximization (cost minimization) problem. Since the model implies that a bank trades off the benefits of a lower rate in a ...
... data to regulators. To test our model, we treat each bank’s mix of funds—raised from the insured deposit and uninsured liability markets—as their solution to the model’s profit maximization (cost minimization) problem. Since the model implies that a bank trades off the benefits of a lower rate in a ...
Lazard Alternative Emerging Markets
... An investment in any alternative investment is speculative, involves a high degree of risk, and may lose value. Privately offered investment vehicles are unregistered private investment funds or pools that invest and trade in many different markets, strategies, and instruments. Such funds generally ...
... An investment in any alternative investment is speculative, involves a high degree of risk, and may lose value. Privately offered investment vehicles are unregistered private investment funds or pools that invest and trade in many different markets, strategies, and instruments. Such funds generally ...
Understanding the global financial crisis
... basic economics of payoffs was fuelled by monetary excesses (loose monetary policy reduces risk-free rates and may induce investors to overpay for higher yielding securities perhaps ignoring the magnitude of the risk factor). Furthermore, financial institutions operating outside the regulated bankin ...
... basic economics of payoffs was fuelled by monetary excesses (loose monetary policy reduces risk-free rates and may induce investors to overpay for higher yielding securities perhaps ignoring the magnitude of the risk factor). Furthermore, financial institutions operating outside the regulated bankin ...
Special Section—Policy Options for Managing Capital Inflows in
... capital markets in several of these economies, as this carries a potential direct impact on asset prices—both on the way in and on the way out. There are various external push factors driving capital inflows to the region. Until recently, a key cyclical factor has been that global financial market c ...
... capital markets in several of these economies, as this carries a potential direct impact on asset prices—both on the way in and on the way out. There are various external push factors driving capital inflows to the region. Until recently, a key cyclical factor has been that global financial market c ...
Implicit Subsidies for Very Large Banks: A Primer
... • Comparison of the difference in deposit rates for insured and uninsured deposits within a bank, for the largest banks versus smaller ones • Rating agency assessments of the effect on creditworthiness from government support Kroszner (2013) provides a thorough literature review of the studies ava ...
... • Comparison of the difference in deposit rates for insured and uninsured deposits within a bank, for the largest banks versus smaller ones • Rating agency assessments of the effect on creditworthiness from government support Kroszner (2013) provides a thorough literature review of the studies ava ...
12CHAPTER Money, Banking, and the Financial System
... and evidence of how the borrowed funds are being used, giving out the loan in installments (Tk. 10,000 this month, Tk. 10,000 next month), and so on. ...
... and evidence of how the borrowed funds are being used, giving out the loan in installments (Tk. 10,000 this month, Tk. 10,000 next month), and so on. ...
credit risk management: the next great financial challenge
... Basic Architecture of an Internal Ratings-Based (IRB) Approach to Capital • In order to become eligible for the IRB approach, a bank would first need to demonstrate that its internal rating system and processes are in accordance with the minimum standards and sound practice guidelines which will be ...
... Basic Architecture of an Internal Ratings-Based (IRB) Approach to Capital • In order to become eligible for the IRB approach, a bank would first need to demonstrate that its internal rating system and processes are in accordance with the minimum standards and sound practice guidelines which will be ...
Everything You Wanted to Know about Credit Default Swaps-
... company. As outlined in a recent Washington Post series on credit risk and discussed below, AIG's exposure was not due to Lehman's failure but rather the result of the use (or misuse) of a credit model that failed to take account of all the risks the firm was taking.2 It is worth mentioning here tha ...
... company. As outlined in a recent Washington Post series on credit risk and discussed below, AIG's exposure was not due to Lehman's failure but rather the result of the use (or misuse) of a credit model that failed to take account of all the risks the firm was taking.2 It is worth mentioning here tha ...
Utilización de las centrales de información de riesgo en los informes
... Banks’ lending mistakes are more prevalent during upturns Borrowers and lenders are overconfident about investment projects (financing NPV<0 projects) Banks’ over optimism implies lower credit policy standards ...
... Banks’ lending mistakes are more prevalent during upturns Borrowers and lenders are overconfident about investment projects (financing NPV<0 projects) Banks’ over optimism implies lower credit policy standards ...
44 STRESS TEST FOR ISLAMIC AND CONVENTIONAL BANKS
... the sample into two groups by business model (i.e. 5 conventional banks, and 3 Islamic banks) and try to capture the impact of these shocks on each group of banks applying the same procedures as those followed for the whole banking sector. To achieve this we attempt to examine potential implications ...
... the sample into two groups by business model (i.e. 5 conventional banks, and 3 Islamic banks) and try to capture the impact of these shocks on each group of banks applying the same procedures as those followed for the whole banking sector. To achieve this we attempt to examine potential implications ...
02-1619 Commercial Paper.qxd
... expenses, working capital and other corporate purposes. When investors buy commercial paper, they are lending money to the issuing corporation. In return for this loan, the issuer agrees to pay interest and return principal when the note matures at a specified date in the future. Commercial paper ty ...
... expenses, working capital and other corporate purposes. When investors buy commercial paper, they are lending money to the issuing corporation. In return for this loan, the issuer agrees to pay interest and return principal when the note matures at a specified date in the future. Commercial paper ty ...
Financial Crisis and Public Policy Executive Summary by Jagadeesh Gokhale No. 634
... Treasury and Federal Reserve’s actions to prop up the financial sector. It argues that recovery from the financial crisis is likely to be slow with or without the government’s bailout actions. An oil price spike and a wealth shock in housing initiated the financial crisis. Declines in stock values a ...
... Treasury and Federal Reserve’s actions to prop up the financial sector. It argues that recovery from the financial crisis is likely to be slow with or without the government’s bailout actions. An oil price spike and a wealth shock in housing initiated the financial crisis. Declines in stock values a ...