Bubbles, Financial Crises, and Systemic Risk
... The ideal breeding ground for the run-up phase is an environment of low volatility. Usually, during such times, financing is easy to come by. Speculators can lever up, lowering the return differential between risky and less risky securities. The resulting leverage and maturity mismatch may be excess ...
... The ideal breeding ground for the run-up phase is an environment of low volatility. Usually, during such times, financing is easy to come by. Speculators can lever up, lowering the return differential between risky and less risky securities. The resulting leverage and maturity mismatch may be excess ...
chapter overview
... arranged between a purchaser and a seller, and is dependent upon each participant’s beliefs of what will happen in the future. Sometimes it can be difficult to match counterparties to such contracts. Swaps, on the other hand, directly match traders who require flows of currencies held by one another ...
... arranged between a purchaser and a seller, and is dependent upon each participant’s beliefs of what will happen in the future. Sometimes it can be difficult to match counterparties to such contracts. Swaps, on the other hand, directly match traders who require flows of currencies held by one another ...
EU single market in banking
... Main effect: the pari passu treatment of creditors, i.e. equal treatment of creditors. As a result, many jurisdictions prohibit set-off after the opening of insolvency. Certain transactions may be reversed if occurred during a time period laid down in the law before the opening of insolvency (“sus ...
... Main effect: the pari passu treatment of creditors, i.e. equal treatment of creditors. As a result, many jurisdictions prohibit set-off after the opening of insolvency. Certain transactions may be reversed if occurred during a time period laid down in the law before the opening of insolvency (“sus ...
Section 1 Short Term Variability
... impact of large losses of low probability, in roughly the same way as requiring insurance. It does not, however, provide a mechanism for compensating society for the losses caused by an insolvency. Instead of requiring extra capital, Basel III (IV?) should require contributions, based on ES − VAR, t ...
... impact of large losses of low probability, in roughly the same way as requiring insurance. It does not, however, provide a mechanism for compensating society for the losses caused by an insolvency. Instead of requiring extra capital, Basel III (IV?) should require contributions, based on ES − VAR, t ...
financial_markets_and_institutions(1)
... 4.01 Goals of Financial Regulation 4.01.1 Why regulate at all? Key Functions of Regulation: To prevent market failure (financial collapse) due to externalities Regulation of Competitive markets Enhancement of consumer welfare including protection from fraud and monetary (macro-economic) policy ...
... 4.01 Goals of Financial Regulation 4.01.1 Why regulate at all? Key Functions of Regulation: To prevent market failure (financial collapse) due to externalities Regulation of Competitive markets Enhancement of consumer welfare including protection from fraud and monetary (macro-economic) policy ...
Financial literacy and its role in promoting a sound financial system
... financially literate, well-informed public could be expected to have beneficial effects on the soundness and efficiency of the financial system. This can occur in a number of ways: ...
... financially literate, well-informed public could be expected to have beneficial effects on the soundness and efficiency of the financial system. This can occur in a number of ways: ...
federal housing finance agency`s single security initiative
... which would lower insurance costs – and on market share, but they would have less incentive to monitor the prepayment risk of these loans. In this cooperative structure, a deterioration in the price of the TBA will damage each Enterprise equally, since there is a Single Security. Alternatively, if o ...
... which would lower insurance costs – and on market share, but they would have less incentive to monitor the prepayment risk of these loans. In this cooperative structure, a deterioration in the price of the TBA will damage each Enterprise equally, since there is a Single Security. Alternatively, if o ...
here
... 2007). “We are in a minefield”, commented Drew Matus, economist at Lehman Brothers, “no one knows where the mines are planted and we are just trying to stumble through it” (ibid.). By summer 2008, international organizations acknowledged the severity of the crisis. “The current market turmoil in the ...
... 2007). “We are in a minefield”, commented Drew Matus, economist at Lehman Brothers, “no one knows where the mines are planted and we are just trying to stumble through it” (ibid.). By summer 2008, international organizations acknowledged the severity of the crisis. “The current market turmoil in the ...
current expected credit loss (cecl) accounting
... While banks have been making enhancements to risk and finance data quality and governance in response to a range of regulatory requirements, new concerns are likely to arise around around data and loss forecasting systems now that they will directly affect public financial statements. The increased ...
... While banks have been making enhancements to risk and finance data quality and governance in response to a range of regulatory requirements, new concerns are likely to arise around around data and loss forecasting systems now that they will directly affect public financial statements. The increased ...
Financial News
... filings with Canadian securities regulators or the U.S. Securities and Exchange Commission and in other communications. All such statements are made pursuant to the “safe harbour” provisions of, and are intended to be forward-looking statements under applicable Canadian and U.S. securities legislati ...
... filings with Canadian securities regulators or the U.S. Securities and Exchange Commission and in other communications. All such statements are made pursuant to the “safe harbour” provisions of, and are intended to be forward-looking statements under applicable Canadian and U.S. securities legislati ...
***** 1
... changes in foreign exchange rates or a default by one of the counterparties. financial instruments that meet the definition of an entity’s own equity leases unless the lease could result in a loss to the lessor or the lessee as a result of contractual terms that are unrelated to changes in the price ...
... changes in foreign exchange rates or a default by one of the counterparties. financial instruments that meet the definition of an entity’s own equity leases unless the lease could result in a loss to the lessor or the lessee as a result of contractual terms that are unrelated to changes in the price ...
the role of the "down-payment channel" in the euro area
... empirically an important "down-payment channel". The channel captures the fact that, when house prices increase, credit-constrained households who wish to buy a property need to accumulate more savings because the down payment required by banks (i.e. the share of the acquisition price that is not co ...
... empirically an important "down-payment channel". The channel captures the fact that, when house prices increase, credit-constrained households who wish to buy a property need to accumulate more savings because the down payment required by banks (i.e. the share of the acquisition price that is not co ...
Far East Hospitality Trust - Singapore
... document is not to be construed as an offer or a solicitation of an offer to buy or sell any securities. The DBS Group, along with its affiliates and/or persons associated with any of them may from time to time have interests in the securities mentioned in this document. The DBS Group may have posit ...
... document is not to be construed as an offer or a solicitation of an offer to buy or sell any securities. The DBS Group, along with its affiliates and/or persons associated with any of them may from time to time have interests in the securities mentioned in this document. The DBS Group may have posit ...
Questions and Answers About the Iraq Securities Law
... Yes, foreigners are permitted to invest in stocks listed on the ISX, according to the Investment Law of 2006. This is one of the greatest benefits of the ISX because it gives Iraq’s economy access to investment capital from around the world. The ISX has adopted procedures for foreign investment, whi ...
... Yes, foreigners are permitted to invest in stocks listed on the ISX, according to the Investment Law of 2006. This is one of the greatest benefits of the ISX because it gives Iraq’s economy access to investment capital from around the world. The ISX has adopted procedures for foreign investment, whi ...
A Synonym for Fraudster - Ridgeview Financial Planning
... foreign stocks are down 2% and emerging markets are down 17% year-to-date. Bonds are up a smidgeon. This also has to do with oil falling to the mid-$30's per barrel, but by in large everybody is waiting on the Fed. They end their meeting Wednesday and their press release should be out that morning. ...
... foreign stocks are down 2% and emerging markets are down 17% year-to-date. Bonds are up a smidgeon. This also has to do with oil falling to the mid-$30's per barrel, but by in large everybody is waiting on the Fed. They end their meeting Wednesday and their press release should be out that morning. ...
International Accounting Standard 10
... An example of a non-adjusting event after the reporting period is a decline in market value of investments between the end of the reporting period and the date when the financial statements are authorised for issue. The decline in market value does not normally relate to the condition of the investm ...
... An example of a non-adjusting event after the reporting period is a decline in market value of investments between the end of the reporting period and the date when the financial statements are authorised for issue. The decline in market value does not normally relate to the condition of the investm ...
Causes, Effects and Regulatory Implications of Financial and
... crisis concerns the financial system and not so much macroeconomic, especially currentaccount, imbalances as had been thought initially. It is perhaps worth noting that many of the less acknowledged or more contentious issues that had been raised earlier in the crisis has since become more widely re ...
... crisis concerns the financial system and not so much macroeconomic, especially currentaccount, imbalances as had been thought initially. It is perhaps worth noting that many of the less acknowledged or more contentious issues that had been raised earlier in the crisis has since become more widely re ...
Working Paper 135/13 THE PSYCHOLOGY AND ECONOMICS OF
... From the point of view of optimal consumption smoothing, evidence indicates that older households under-decumulate wealth (Romiti and Rossi, 2012). One reason is that they hold a large part of their wealth in illiquid assets, namely their home. From the point of view of portfolio risk management thi ...
... From the point of view of optimal consumption smoothing, evidence indicates that older households under-decumulate wealth (Romiti and Rossi, 2012). One reason is that they hold a large part of their wealth in illiquid assets, namely their home. From the point of view of portfolio risk management thi ...