Liquidity and Market Crashes
... in the form of excessive selling, and why it comes in large magnitudes. In this paper, we show that the same cost that hinders the ex post supply of liquidity also generates the need for liquidity in the first place. Despite the symmetric nature of market participants’ idiosyncratic trading needs, ...
... in the form of excessive selling, and why it comes in large magnitudes. In this paper, we show that the same cost that hinders the ex post supply of liquidity also generates the need for liquidity in the first place. Despite the symmetric nature of market participants’ idiosyncratic trading needs, ...
The Relationship Between Competition and Innovation: How
... competition reinforces or discourages innovation. To my knowledge, the existing literature has focused on the impact of competition on the incentives of firms for innovation (which can be defined as the difference in the profits a firm earns when it innovates and when it is not). This ”incentive-eff ...
... competition reinforces or discourages innovation. To my knowledge, the existing literature has focused on the impact of competition on the incentives of firms for innovation (which can be defined as the difference in the profits a firm earns when it innovates and when it is not). This ”incentive-eff ...
Risk Weighted Capital Adequacy Framework
... Based on the Basel II document, "International Convergence of Capital Measurement and Capital Standards: A Revised Framework" issued by the BCBS in June 2006 and the Capital Adequacy Standards, “Capital Adequacy Standard for Institutions Other than Insurance Institutions Offering only Islamic Financ ...
... Based on the Basel II document, "International Convergence of Capital Measurement and Capital Standards: A Revised Framework" issued by the BCBS in June 2006 and the Capital Adequacy Standards, “Capital Adequacy Standard for Institutions Other than Insurance Institutions Offering only Islamic Financ ...
accounting and market based risk measures as predictors of bank
... default. Previous literature finds an association between the two measures but it is important to have empirical evidence on which one of the measures can predict a bank failure more effectively. The financial world is characterized of the plethora of connections among its components something that ...
... default. Previous literature finds an association between the two measures but it is important to have empirical evidence on which one of the measures can predict a bank failure more effectively. The financial world is characterized of the plethora of connections among its components something that ...
proyecto de escisión - Precio de Cementos Pacasmayo
... F. As indicated in Section 13 herein, upon approving the Spin-Off Project, both of the Shareholders’ Meetings of the Participating Companies shall authorize their respective Chief Executive Officers to jointly make the adjustments and amendments to the Spin-off Project that they may deem necessary a ...
... F. As indicated in Section 13 herein, upon approving the Spin-Off Project, both of the Shareholders’ Meetings of the Participating Companies shall authorize their respective Chief Executive Officers to jointly make the adjustments and amendments to the Spin-off Project that they may deem necessary a ...
Essays in Monetary Policy and Banking Babak Mahmoudi
... assets. Assets differ in terms of the liquidity services they provide. I show that the central bank can control the overall liquidity and welfare of the economy by changing the relative supply of assets. A liquidity trap exists away from the Friedman rule that has a positive real interest rate; the ...
... assets. Assets differ in terms of the liquidity services they provide. I show that the central bank can control the overall liquidity and welfare of the economy by changing the relative supply of assets. A liquidity trap exists away from the Friedman rule that has a positive real interest rate; the ...
Quantifying Liquidity and Default Risks of Corporate Bonds over the
... is further amplified by the endogenous default decision of the equity holders, as shown in Leland and Toft (1996) and emphasized by He and Xiong (2012). A default-liquidity spiral arises: when secondary market liquidity deteriorates, equity holders suffer heavier rollover losses in refinancing their ...
... is further amplified by the endogenous default decision of the equity holders, as shown in Leland and Toft (1996) and emphasized by He and Xiong (2012). A default-liquidity spiral arises: when secondary market liquidity deteriorates, equity holders suffer heavier rollover losses in refinancing their ...
Investor Preferences and Demand for Active Management
... lower diversification of actively managed funds compared to passive funds, nor can they be attributed to different types of securities held by active versus passive funds. We show that actively managed funds and their corresponding index funds tend to hold stocks with very similar characteristics sh ...
... lower diversification of actively managed funds compared to passive funds, nor can they be attributed to different types of securities held by active versus passive funds. We show that actively managed funds and their corresponding index funds tend to hold stocks with very similar characteristics sh ...
PRUCO LIFE INSURANCE COMPANY PRUCO LIFE FLEXIBLE
... Portfolios available under your contract, please refer to your contract prospectus. The following should be read in conjunction with the Prospectus and should be retained for future reference. Defined terms used herein and not otherwise defined herein shall have the meanings given to them in the Pro ...
... Portfolios available under your contract, please refer to your contract prospectus. The following should be read in conjunction with the Prospectus and should be retained for future reference. Defined terms used herein and not otherwise defined herein shall have the meanings given to them in the Pro ...
John Hancock High Yield Municipal Bond Fund
... manager uses detailed analysis of an appropriate index to model portfolio performance and composition, then blends the macro assessment with security analysis in a comprehensive and disciplined fashion. The fund does not intend to use frequent trading as part of its strategy. In general, the manager ...
... manager uses detailed analysis of an appropriate index to model portfolio performance and composition, then blends the macro assessment with security analysis in a comprehensive and disciplined fashion. The fund does not intend to use frequent trading as part of its strategy. In general, the manager ...
Market Risk, Mortality Risk, and Sustainable Retirement
... Conventional wisdom in financial planning holds that an individual’s exposure to higher-risk assets, like stocks, should decline as his or her retirement date nears. As Jagannathan and Kocherlakota (1996) note, the rationale for this tenet usually rests on three assumptions: (i) stocks are less risk ...
... Conventional wisdom in financial planning holds that an individual’s exposure to higher-risk assets, like stocks, should decline as his or her retirement date nears. As Jagannathan and Kocherlakota (1996) note, the rationale for this tenet usually rests on three assumptions: (i) stocks are less risk ...
Dynamic Monitoring of Financial Intermediaries with Subordinated
... single unobserved variable, which we call the “coincident indicator of bank risk”. We proceed in two stages. In the first stage, because we have information on the state of the stock and bond markets, we linearly filter the systematic component in equity and debt. The filtered series for equity and ...
... single unobserved variable, which we call the “coincident indicator of bank risk”. We proceed in two stages. In the first stage, because we have information on the state of the stock and bond markets, we linearly filter the systematic component in equity and debt. The filtered series for equity and ...
Chapter 2
... Investors face with two problems when they form portfolios of multiple securities from different asset classes. 1. Asset Allocation Decision Asset allocation problem involves a decision of what percentage of investor’s portfolio should be allocated among different asset classes (stocks, bonds, deriv ...
... Investors face with two problems when they form portfolios of multiple securities from different asset classes. 1. Asset Allocation Decision Asset allocation problem involves a decision of what percentage of investor’s portfolio should be allocated among different asset classes (stocks, bonds, deriv ...
Ingrid`s PowerPoint presentation
... “The key to investing is not assessing how much an industry is going to affect society, or how much it will grow, but rather determining the competitive advantage of any given company and, above all, the durability of that advantage.” Warren Buffett ...
... “The key to investing is not assessing how much an industry is going to affect society, or how much it will grow, but rather determining the competitive advantage of any given company and, above all, the durability of that advantage.” Warren Buffett ...
Endogenous risk in a DSGE model with capital-constrained …nancial intermediaries Hans Dewachter
... that capital constraints on …nancial intermediaries are an important factor for understanding the risk attitude of these institutions. Gilchrist and Zakrajeck (2012) relate the predictive power of their bond premium for the business cycle to the risk-bearing capacity of the marginal investors in the ...
... that capital constraints on …nancial intermediaries are an important factor for understanding the risk attitude of these institutions. Gilchrist and Zakrajeck (2012) relate the predictive power of their bond premium for the business cycle to the risk-bearing capacity of the marginal investors in the ...
Slide 1
... company was credited with 500 in 07-08 on exchange difference and amortized with 175, 325 and 425 during 08-09, 09-10 and 10-11 respectively. On date of transition, the FCTDA account shall not appear in the opening IFRS statement and the effect goes to equity account. As IFRS comparatives for 10-11 ...
... company was credited with 500 in 07-08 on exchange difference and amortized with 175, 325 and 425 during 08-09, 09-10 and 10-11 respectively. On date of transition, the FCTDA account shall not appear in the opening IFRS statement and the effect goes to equity account. As IFRS comparatives for 10-11 ...
Global perspectives: 2016 REIT report
... New Realand and the Netherlands were early adopters and have grown signiÕcantly. The last 10 years have seen a notable increase in the number of countries introducing the REIT concept; 16 jurisdictions have introduced REIT or REIT-like legislation since 2006, although not all have fully functioning ...
... New Realand and the Netherlands were early adopters and have grown signiÕcantly. The last 10 years have seen a notable increase in the number of countries introducing the REIT concept; 16 jurisdictions have introduced REIT or REIT-like legislation since 2006, although not all have fully functioning ...
Working Capital Management impact on Profitability
... to take rigid measures, cutting costs and delaying investments in order to respond to the decrease in demand and the consequent reduction in production. At this level, the cash and the working capital were under higher monitoring and control. Working capital management has been changing and common p ...
... to take rigid measures, cutting costs and delaying investments in order to respond to the decrease in demand and the consequent reduction in production. At this level, the cash and the working capital were under higher monitoring and control. Working capital management has been changing and common p ...
When Does Information Asymmetry Affect the Cost of
... In this paper we explore further this possibility by introducing a proxy for the level of competition in a firm’s shares. While financial market competition is a well accepted economic concept, it has no natural proxy in market data. This problem notwithstanding, we use the number of investors in a ...
... In this paper we explore further this possibility by introducing a proxy for the level of competition in a firm’s shares. While financial market competition is a well accepted economic concept, it has no natural proxy in market data. This problem notwithstanding, we use the number of investors in a ...
Wave 6 - BetterInvesting
... When looking at the various industries, manufacturing (59%) is considered by far the best investment in the Chinese market. The perceived worst industry segments in which to invest include health care (36%), real estate (29%), insurance (28%) and media (25%). ...
... When looking at the various industries, manufacturing (59%) is considered by far the best investment in the Chinese market. The perceived worst industry segments in which to invest include health care (36%), real estate (29%), insurance (28%) and media (25%). ...
The relationship between government bond yields and the market
... historical market conditions is that government bond yields are currently at historical lows. In our view, the AER’s approach of applying a fixed risk premium should be replaced with an approach of estimating a risk premium that is commensurate with the prevailing conditions in the market. This appr ...
... historical market conditions is that government bond yields are currently at historical lows. In our view, the AER’s approach of applying a fixed risk premium should be replaced with an approach of estimating a risk premium that is commensurate with the prevailing conditions in the market. This appr ...
Private equity secondary market
In finance, the private equity secondary market (also often called private equity secondaries or secondaries) refers to the buying and selling of pre-existing investor commitments to private equity and other alternative investment funds. Given the absence of established trading markets for these interests, the transfer of interests in private equity funds as well as hedge funds can be more complex and labor-intensive.Sellers of private equity investments sell not only the investments in the fund but also their remaining unfunded commitments to the funds. By its nature, the private equity asset class is illiquid, intended to be a long-term investment for buy-and-hold investors, including ""pension funds, endowments and wealthy families selling off their private equity funds before the pools have sold off all their assets."" For the vast majority of private equity investments, there is no listed public market; however, there is a robust and maturing secondary market available for sellers of private equity assets.Buyers seek to acquire private equity interests in the secondary market for multiple reasons. For example, the duration of the investment may be much shorter than an investment in the private equity fund initially. Likewise, the buyer may be able to acquire these interests at an attractive price. Finally, the buyer can evaluate the fund's holdings before deciding to purchase an interest in the fund. Conversely, sellers may seek to sell interest for various reasons, including the need to raise capital, the desire to avoid future capital calls, the need to reduce an over-allocation to the asset class or for regulatory reasons.Driven by strong demand for private equity exposure over the past decade, a significant amount of capital has been committed to secondary market funds from investors looking to increase and diversify their private equity exposure.