The WSJ is having a field day reporting on repo. Two related back-to-back articles, “Banks Retreat From Market That Keeps Cash Flowing” (August 12th and updated on the 13th) and “Fed Officials Suggest Limiting Banks’ Repo Exposure” (August 13th). Both are by Ryan Tracy. Little of the news is good.
Survey preview: insurance companies, fund managers and collateral policies (Finadium subscribers only)
This article previews an upcoming Finadium research survey on insurance companies, fund managers and the process of collateral management. In particular, we look at manager thinking on collateral efficiency and portfolio strategy, non-cash vs. cash and the value of trading collateral.
The Harvard Law School Forum article “Nationalize the Clearinghouses” — the author may have jumped the gun
An article in the August 8, 2014 Harvard Law School Forum on Corporate Governance and Financial Regulation entitled “Nationalize the Clearinghouses!” brought up some interesting issues. We take a look.
“Financial Stability Monitoring” by the Fed keeps looking for that line between the gold standard of risk management and the desire to let the economy grow
A recently revised staff research report from the Federal Reserve, “Financial Stability Monitoring,” by Tobias Adrian, Daniel Covitz, and Nellie Liang, looks at how risk should be tracked across financial markets. We review both the revised report and a new blog article by the authors.
An August 5, 2014 article in Reuters, “Unlikely booster for money market funds: beat-up Puerto Rico bonds” by Tim McLaughlin caught our attention. But it seems to be missing some details.
There have been a couple articles on cross margining of derivatives recently, mostly focused on netting exposures within CCPs. This has been a hard nut to crack.
The US Government Accountability Office (GAO) released a study last week that looked at US bank funding costs in light of recent financial regulatory reforms. The study showed no 100% conclusive results, but details reveal some helpful suggestions in considering how bank funding costs should be assessed.
The Bank of England has published a useful discussion paper on insurance companies and pension plans as procyclical investors. This important topic is one of the few that has not gotten significant attention since the financial crisis. Sure, its all well that banks have higher capital requirements. But what happens if the major investors all rush towards […]
Thursday news roundup: defining liquidity, Moody’s, seclending CCPs, non-bank financial credit providers
Interesting news and articles from the last week that we haven’t gotten a chance to talk about elsewhere, including MiFID and liquidity, a suggestion that Moody’s has preferenced ratings of bonds held by its corporate owners, and securities lending CCPs. Read on.
September 18, 2014
Sponsored by Zurcher Kantonalbank and Eurex Clearing
London: Building New Business Models for Repo and Secured Funding
September 22, 2014
Sponsored by SunGard and Euroclear
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August 14th, 2014
August 12th, 2014
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Highly renowned within the securities lending industry, IMNs event has been Beneficial Owners meeting of choice for nearly twenty years and attracts close to 300+ attendees. We have an exclusive 10% discount for you to attend - use discount code SFM and join the rest of the beneficial owner community in London this September. For more information including confirmed speakers and complete agenda please visit: http://www.imn.org/eurosec14