The incentive structure of the originate-to
... show that they are more likely to experience funding and liquidity shocks and meet their funding and liquidity needs through OTD lending. Since banks use the OTD model as liquidity and funding provider, we want to investigate further its impact on bank credit supply. Our results indicate that it con ...
... show that they are more likely to experience funding and liquidity shocks and meet their funding and liquidity needs through OTD lending. Since banks use the OTD model as liquidity and funding provider, we want to investigate further its impact on bank credit supply. Our results indicate that it con ...
Best execution mechanics: TBA specified pool
... TBA is an effective hedge against changing MBS prices TBA hedges interest rate risk TBA allows HFAs to lock in MBS price on new loan reservations, hedging the change in price due to rising interest rates ...
... TBA is an effective hedge against changing MBS prices TBA hedges interest rate risk TBA allows HFAs to lock in MBS price on new loan reservations, hedging the change in price due to rising interest rates ...
Options on Fed funds futures and interst rate volatity
... by trading options. As a result, their model predicts that options introduction can attract more informed trading and increase informational efficiency of the primary market. This is also noted by Cao (1999) who shows that options listing leads to an increase in the amount of information collected o ...
... by trading options. As a result, their model predicts that options introduction can attract more informed trading and increase informational efficiency of the primary market. This is also noted by Cao (1999) who shows that options listing leads to an increase in the amount of information collected o ...
Design of Financial Securities: Empirical Evidence from Private-label RMBS Deals
... research suggests that sponsors are more likely to possess private information about the underlying loan pools when they are also the loan originators (e.g., see Keys et al., 2010). Consistent with our asymmetric information argument, we find that the effect of equity tranche on ex-post loan perform ...
... research suggests that sponsors are more likely to possess private information about the underlying loan pools when they are also the loan originators (e.g., see Keys et al., 2010). Consistent with our asymmetric information argument, we find that the effect of equity tranche on ex-post loan perform ...
Does Liquidity Affect Securities Market Efficiency?
... reasons, tests of efficiency using TradeSports data nicely complement the evidence from wagering markets, experimental markets, and conventional financial markets. To measure the liquidity of securities markets on the TradeSports exchange, I rely on two indicators designed to capture O’Hara’s (1995 ...
... reasons, tests of efficiency using TradeSports data nicely complement the evidence from wagering markets, experimental markets, and conventional financial markets. To measure the liquidity of securities markets on the TradeSports exchange, I rely on two indicators designed to capture O’Hara’s (1995 ...
HFRX Hedge Fund Indices Methodology
... HFRX Hedge Fund Indices are the global industry standard for performance measurement across all aspects of the hedge fund industry. Indices are constructed using robust filtering, monitoring and quantitative constituent selection process using the Hedge Fund Research (HFR) database, also the industr ...
... HFRX Hedge Fund Indices are the global industry standard for performance measurement across all aspects of the hedge fund industry. Indices are constructed using robust filtering, monitoring and quantitative constituent selection process using the Hedge Fund Research (HFR) database, also the industr ...
hedge fund headlines mislead
... Many hedge funds have had to increase their non-investment resources to meet the increasing demands of regulators. ...
... Many hedge funds have had to increase their non-investment resources to meet the increasing demands of regulators. ...
Editable Value Lists
... To keep your own additional values and include all of the core system values (included in this document), click on ‘Core only’. This will update the list you are viewing to include all of the latest core system values in addition to your own values. To reset the values in this list to only display t ...
... To keep your own additional values and include all of the core system values (included in this document), click on ‘Core only’. This will update the list you are viewing to include all of the latest core system values in addition to your own values. To reset the values in this list to only display t ...
Systemic Risk and Hedge Funds
... in a variety of active investment strategies, 1 hedge funds have generally yielded double-digit returns historically, but not without commensurate risks, and such risks are currently not widely appreciated or well understood. In particular, we argue that the risk/reward profile for most hedge funds ...
... in a variety of active investment strategies, 1 hedge funds have generally yielded double-digit returns historically, but not without commensurate risks, and such risks are currently not widely appreciated or well understood. In particular, we argue that the risk/reward profile for most hedge funds ...
United States housing bubble
The United States housing bubble was an economic bubble affecting many parts of the United States housing market in over half of American states. Housing prices peaked in early 2006, started to decline in 2006 and 2007, and reached new lows in 2012. On December 30, 2008, the Case-Shiller home price index reported its largest price drop in its history. The credit crisis resulting from the bursting of the housing bubble is—according to general consensus—the primary cause of the 2007–2009 recession in the United States.Increased foreclosure rates in 2006–2007 among U.S. homeowners led to a crisis in August 2008 for the subprime, Alt-A, collateralized debt obligation (CDO), mortgage, credit, hedge fund, and foreign bank markets. In October 2007, the U.S. Secretary of the Treasury called the bursting housing bubble ""the most significant risk to our economy.""Any collapse of the U.S. housing bubble has a direct impact not only on home valuations, but the nation's mortgage markets, home builders, real estate, home supply retail outlets, Wall Street hedge funds held by large institutional investors, and foreign banks, increasing the risk of a nationwide recession. Concerns about the impact of the collapsing housing and credit markets on the larger U.S. economy caused President George W. Bush and the Chairman of the Federal Reserve Ben Bernanke to announce a limited bailout of the U.S. housing market for homeowners who were unable to pay their mortgage debts.In 2008 alone, the United States government allocated over $900 billion to special loans and rescues related to the U.S. housing bubble, with over half going to Fannie Mae and Freddie Mac (both of which are government-sponsored enterprises) as well as the Federal Housing Administration. On December 24, 2009, the Treasury Department made an unprecedented announcement that it would be providing Fannie Mae and Freddie Mac unlimited financial support for the next three years despite acknowledging losses in excess of $400 billion so far. The Treasury has been criticized for encroaching on spending powers that are enumerated for Congress alone by the United States Constitution, and for violating limits imposed by the Housing and Economic Recovery Act of 2008.