Liquidity
Uncertain liquidity ratios
Like their counterparts elsewhere, South African banks are bracing themselves for a round of changes to Basel II rules. But it is the implications for liquidity and not capital that most concern market participants.
The liquidity gap
Regulators are increasing their focus on liquidity risk in response to the financial crisis, but there are questions about whether capital is an effective mitigant for liquidity risks and the nature of the relationship between liquidity risk and bank…
Liquidity flow charting
New rules on liquidity risk from the Basel Committee and the UK Financial Services Authority have left banks scrambling to get the necessary risk and reporting systems in place. Clive Davidson looks at the challenges they face
Variable annuities: waiting for the next generation
A few years ago European insurers were issuing increasing numbers of guaranteed products that resembled structured notes. What scope is there for this type of business today? By John Ferry
Defining liquidity risk
When will firms start realising that liquidity risk contains operational risk? David Benyon argues that companies ignore this link at their peril, and looks towards a more all-encompassing approach to its management
Basel rules set to change
Despite the difficulty and cost involved, even banks accept that aspects of the old financial regulatory regime must yield their place and go. Patrick Blum asks industry consultants what Basel II reforms they expect to see in 2010, and how firms can…
Cross-factor challenges
Banks realise the importance of measuring and managing risk on an enterprise-wide basis, but aggregating data across various business lines and obtaining consistent information remains difficult. How are banks responding to the challenge?
The thirst for liquidity
Bank supervisors the world over are set to revise liquidity requirements for financial institutions in a bid to improve financial stability. But the banking community – already struggling under the weight of new regulation – is not convinced the efforts…
Capital punishment?
At a landmark meeting early this month, the Basel Committee will finalise its proposals for a host of measures, including counter-cyclical capital buffers and a leverage ratio. The consultation in early 2010 will be the industry’s last chance to fight…
Information of interest
The flow of information in financial markets on future liquidity risk generates the rise and fall of demand for default-free bonds. Here, Dorje Brody and Robyn Friedman present an approach to pricing these bonds and the associated derivatives, based on…
New FSA liquidity rules aim to strengthen UK banking industry
David Ellis and Silvano Stagni consider whether the UK is looking to lead the shape of the new regulatory order, whether there is a ‘first-mover advantage’ and whether, acting alone, it can control financial liquidity in enough depth to put the UK’s…
The liquidity lifeline
The Basel Committee intends to introduce internationally binding
Locking down liquidity
On October 5, the UK's Financial Services Authority released 09/16, Strengthening Liquidity Standards Policy Statement, the final version of the UK's long-awaited liquidity risk regulation. Carla Mangado explores how this will impact the back office and…