Risk Sharing between Banks and Markets
... investors. We argue that the combined effect of retaining the first-loss piece and selling senior tranches to investors achieves an efficient risk allocation, reducing the bank’s exposure to extreme risks that might endanger the bank’s solvency. Thus, securitization should have a positive impact on the ...
... investors. We argue that the combined effect of retaining the first-loss piece and selling senior tranches to investors achieves an efficient risk allocation, reducing the bank’s exposure to extreme risks that might endanger the bank’s solvency. Thus, securitization should have a positive impact on the ...
Major Points
... be infinite) and sum the discounted present values. But typically we work with a simplified version of this general equation. For example, when we value coupon-paying bonds the cash flows are the stream of interest payments (an annuity), plus a single amount to be received at the end of the investme ...
... be infinite) and sum the discounted present values. But typically we work with a simplified version of this general equation. For example, when we value coupon-paying bonds the cash flows are the stream of interest payments (an annuity), plus a single amount to be received at the end of the investme ...
The Firm and the Industry under Perfect Competition The decisions
... fishing industry contains many small firms, whereas the aircraft and telecommunications industries are comprised of a few giant firms. Chapter 9 describes perfect competition wherein firms are numerous and small. First, we will discuss various market forms. Second, we will analyze the output decisio ...
... fishing industry contains many small firms, whereas the aircraft and telecommunications industries are comprised of a few giant firms. Chapter 9 describes perfect competition wherein firms are numerous and small. First, we will discuss various market forms. Second, we will analyze the output decisio ...
Free Full Text ( Final Version , 893kb )
... pin point good investment opportunities in second homes worldwide. Initially, it will be necessary to determine which countries are likely to provide returns on investments followed by comparisons between the countries. As each country has its individual investment criteria, based on geography, clim ...
... pin point good investment opportunities in second homes worldwide. Initially, it will be necessary to determine which countries are likely to provide returns on investments followed by comparisons between the countries. As each country has its individual investment criteria, based on geography, clim ...
Information on risk, own funds and capital requirements
... The above mentioned criteria are taken into consideration in accordance with profile of the performed function, size of the area they manage, scope and character of the tasks performed in this area. Current practices meet requirements of provisions of law. Article 435.2.c the policy on diversity ...
... The above mentioned criteria are taken into consideration in accordance with profile of the performed function, size of the area they manage, scope and character of the tasks performed in this area. Current practices meet requirements of provisions of law. Article 435.2.c the policy on diversity ...
Supply Contracts with Options in E-Business December 2, 2002
... Supply chain management aims to optimize the management of material, information, and financial flows in a network of suppliers and buyers to efficiently respond to market demands for goods and services. It spans the full supply chain from the procurement of raw materials to the delivery of finished g ...
... Supply chain management aims to optimize the management of material, information, and financial flows in a network of suppliers and buyers to efficiently respond to market demands for goods and services. It spans the full supply chain from the procurement of raw materials to the delivery of finished g ...
chapter 2 2
... they used no DCF approach at all, and 9% used no formal analysis of any form. Little use was ever made of any market value rules afforded by present-value analysis.xii In an examination in 1986 of surveys and the finance literature Bhandari said that ‘… in small firms, payback is not simply the majo ...
... they used no DCF approach at all, and 9% used no formal analysis of any form. Little use was ever made of any market value rules afforded by present-value analysis.xii In an examination in 1986 of surveys and the finance literature Bhandari said that ‘… in small firms, payback is not simply the majo ...
Accrued Interest on Debt Securities with a Fixed Rate of
... coupon rate (if any), credit risk of issuer. If market rates of interest change, so will the market value of the security. Accordingly, if the market value of the security changes, how is this sentence to be applied? If interest rates rise, the value of the principal outstanding will fall; does that ...
... coupon rate (if any), credit risk of issuer. If market rates of interest change, so will the market value of the security. Accordingly, if the market value of the security changes, how is this sentence to be applied? If interest rates rise, the value of the principal outstanding will fall; does that ...
Chapter 21 Glossary
... asset’s economic life; or (4) the present value of the minimum lease payments equals or exceeds 90 percent of the fair value of the leased asset. If a lease does not meet any of the four criteria, then it is classified and accounted for as an operating lease. (p. 1295). capitalization of leases The ...
... asset’s economic life; or (4) the present value of the minimum lease payments equals or exceeds 90 percent of the fair value of the leased asset. If a lease does not meet any of the four criteria, then it is classified and accounted for as an operating lease. (p. 1295). capitalization of leases The ...
Determinants of issuance of corporate bonds by
... A variety of features affect bond maturity. These are the provisions that allow the issuer to buy back all or part of its outstanding bonds at a specified call price before maturity of the bond. Reilly & Brown, (2006) identifies three alternative call options that affects bond’s maturity. The first ...
... A variety of features affect bond maturity. These are the provisions that allow the issuer to buy back all or part of its outstanding bonds at a specified call price before maturity of the bond. Reilly & Brown, (2006) identifies three alternative call options that affects bond’s maturity. The first ...
Temi di Discussione
... quality of collateral on their balance sheets, which loosens their funding constraint, and enables them to increase their leverage and their profitability. In our economy, shadow banks can therefore be thought of as collateral manufacturers, who take the raw material of loans produced by commercial ...
... quality of collateral on their balance sheets, which loosens their funding constraint, and enables them to increase their leverage and their profitability. In our economy, shadow banks can therefore be thought of as collateral manufacturers, who take the raw material of loans produced by commercial ...
1740-06 Varsity Rules - JSE Investment Challenge
... The difference is that in a healthy, growing company the dividend should increase by at least the inflation rate and, hopefully, faster. This means that if you hold on to a share for any length of time, within a few years the dividend return on the price you paid for the share should increase beyond ...
... The difference is that in a healthy, growing company the dividend should increase by at least the inflation rate and, hopefully, faster. This means that if you hold on to a share for any length of time, within a few years the dividend return on the price you paid for the share should increase beyond ...
Taxation and the Taylor Principle
... into account changes in the government’s tax structure. In particular, the benchmark against which an estimated Taylor rule must be compared need not be fixed over time. The remainder of the paper is organized as follows. Section 2 presents the optimizing model that underpins our analysis, and deriv ...
... into account changes in the government’s tax structure. In particular, the benchmark against which an estimated Taylor rule must be compared need not be fixed over time. The remainder of the paper is organized as follows. Section 2 presents the optimizing model that underpins our analysis, and deriv ...
Online Chapter 15 LEASE FINANCING AND BUSINESS VALUATION
... Initially, the balance sheets of both firms are identical, and they both have debt ratios of 50 percent. Next, each firm decides to acquire a fixed asset that costs $100. Firm B borrows $100 and buys the asset, so both an asset and a liability are entered on its balance sheet, and its debt ratio ris ...
... Initially, the balance sheets of both firms are identical, and they both have debt ratios of 50 percent. Next, each firm decides to acquire a fixed asset that costs $100. Firm B borrows $100 and buys the asset, so both an asset and a liability are entered on its balance sheet, and its debt ratio ris ...
Capital Account Liberalization, Institutions and Financial Development:
... banking system. This measure, however, does not distinguish between allocation to private and public sector entities, and hence could misleadingly indicate that a country with directed lending to state owned enterprises actually had a advanced financial system, when in fact the banking system was fa ...
... banking system. This measure, however, does not distinguish between allocation to private and public sector entities, and hence could misleadingly indicate that a country with directed lending to state owned enterprises actually had a advanced financial system, when in fact the banking system was fa ...
Complete Cut-Free Tableaux for Equational Simple Type Theory
... normalization operator. With the normalization operator we hide the details of lambda conversion from the tableau system and most of the completeness proof. For the completeness proof we use the new notion of a value system to directly construct surjective Henkin models. Value systems are logical r ...
... normalization operator. With the normalization operator we hide the details of lambda conversion from the tableau system and most of the completeness proof. For the completeness proof we use the new notion of a value system to directly construct surjective Henkin models. Value systems are logical r ...
Understanding ETF Liquidity and Trading
... IOPV is the Indicative Optimized Portfolio Value—the intraday net asset value of the basket of underlying securities. ...
... IOPV is the Indicative Optimized Portfolio Value—the intraday net asset value of the basket of underlying securities. ...
Simulation_of_Correlated_Default_Processes
... and pricing. From a risk-management perspective, a joint distribution with taildependence is far riskier than one without. To model this tail-dependence, copula functions have been used. The choice of the copula function used depends on the marginal distributions of default probability for individua ...
... and pricing. From a risk-management perspective, a joint distribution with taildependence is far riskier than one without. To model this tail-dependence, copula functions have been used. The choice of the copula function used depends on the marginal distributions of default probability for individua ...
Capital flows and stock market growth in Africa Abstract Over the last
... Over the last one decade, Africa witnessed a surge in various forms of capital flows, mainly, FDI and remittance inflows. In most African countries, FDI attraction is one of the dominant development strategies while remittances contribute to stock market growth. The surge in capital flows raise impo ...
... Over the last one decade, Africa witnessed a surge in various forms of capital flows, mainly, FDI and remittance inflows. In most African countries, FDI attraction is one of the dominant development strategies while remittances contribute to stock market growth. The surge in capital flows raise impo ...
