Risk
Greenspan hits back
Alan Greenspan, a former chairman of the Federal Reserve, has said that the blame for the subprime crisis lies with the investment community rather than himself, as has often been argued.
Joint Forum: CRT markets' future developments
Firms should not establish material positions in credit risk transfer (CRT) instruments without first having validated models for pricing and risk-managing such exposures, advises a new report from the Joint Forum.
Glum findings in latest FSA report
Financial markets could be more vulnerable to external shocks in 2008, the latest risk outlook published by the Financial Services Authority (FSA), the British single regulator, finds.
Banking risks must be considered together
The impact of credit and interest rate risk, the two most important dangers faced by commercial banks, must be measured jointly, research published by the Bank of England finds.
Subprime aftermath risks exacerbating imbalances
Financial market turbulence, together with a significant slowdown in the United States, could lead to and be exacerbated by a disorderly resolution of global current account imbalances, says the Bank of Canada's latest Financial System Review.
Pre-crunch poll supports Basel II stability claim
The introduction of the Basel II regulatory framework, which has faced a barrage of criticism in the wake of the credit crunch, will make the financial system sounder and encourage better risk management, according to a poll conducted the Professional…
Impact of globalisation on risk sharing small
Financial globalisation does not result in as much risk sharing as theory predicts, research published by the IMF finds.
Commodity prices warrant close attention: Japan
Central banks need to analyse data on commodity markets in order to more fully understand movements in global financial markets, according to research published by the Bank of Japan.
IMF issues op-risk guidelines
The International Monetary Fund has published guidelines on enhanced market practice and more effective prudential standards for operational risk measurement.
Avoid absorbing default losses, central banks told
Central banks should beware of injecting funds aimed at absorbing losses associated with defaults to provide risk sharing, according to research published by the Bank of Canada.
The impact of innovation on systemic risk
The pace of financial innovation has led to an increasingly complex and interconnected financial system. But what effect does this have on systemic risk?
Share options spur CEOs to take more risks
Granting employee stock options motivates CEOs of banking firms to undertake riskier projects, research published by the New York Fed has found.
HK's Choi on Basel II's risk management challenges
Y.K. Choi, the deputy chief executive responsible for banking at the Hong Kong Monetary Authority, spelt out the risk management challenges facing the Asian finance industry in preparing for Basel II.
Competition found to impact bank risk
Banking stability may be undermined by competition, according to research published today by the San Francisco Fed.
Canada's rate path uncertain - Dodge
A rise in value of the Canadian dollar and mixed signals on inflation risks will present the Bank of Canada with some tough monetary policy decisions in the coming months, David Dodge, the governor of the central bank, said that on Tuesday.
SEC and FSA chiefs to discuss hedge fund rules
Paul Atkins, the commissioner of the US Securities and Exchange Commission, and Hector Sants, the chief executive of the UK Financial Services Authority, will meet with senior hedge fund professionals to ask if funds should be regulated and to see what…
Research finds East Asian ratings discrepancy
A significant discrepancy exists between agency ratings and market-based default risk measures for East Asian banks, according to a paper published by the Hong Kong Monetary Authority on Tuesday.
Subprime was trigger not cause: Fed's Warsh
Kevin Warsh, a governor of the Federal Reserve, said on Friday that the subprime crisis sparked, rather than produced, the recent bout of money-market turmoil.
Links between ownership, market structure and risk
The relationship in developing countries between banks' risk of failure, market structure, their ownership, and screening and bankruptcy costs is investigated in an International Monetary Fund paper published on Wednesday.
A case for hedge fund regulation
The unique nature of hedge funds could lead to market failures that counterparty credit risk management (CCRM) practices cannot easily assess, according to an article published by the New York Federal Reserve.
Thailand to hold risk management event
The Bank of Thailand said on Monday that this year's research event will cover 'Managing Financial Risks for the Coming Decade'.
CEBS advises on liquidity risk management
The Committee of European Banking Supervisors, which acts as a consultant to the European Commission on banking policy issues, published the first part of its technical advice on liquidity risk management.
New FSA chief sounds warning call
The new chief executive of the British Financial Services Authority, Hector Sants, has warned that banks and financial institutions may not have done enough to protect themselves and their investors against the impending market downturn.
Portfolio credit risk in central banks
This report presents the findings of a task force, established in early 2006 and consisting of nine Eurosystem central banks to analyse and discuss the use of portfolio credit risk methodologies by central banks.