Risk
Norway’s sovereign wealth fund makes first property investment
Government Pension Fund Global takes stake in British Crown Estate’s Regent Street portfolio as part of new strategy to better hedge against inflation
St Louis Fed says TAF announcement raised risk premiums
St Louis Federal Reserve study shows announcement of Fed’s Term Auction Facility unintentionally caused market participants to revise upward their expectations of seriousness of financial crisis
BIS investigates drivers in US stock market
Bank for International Settlements study says changes in expected excess returns on dividends main driver of US stock market
IMF: tax hikes increase success of austerity measures
Fund study shows tax rises in addition to spending cuts help reduce public debts more effectively
NY Fed’s Dudley backs Basel III
New York Federal Reserve president William Dudley says Basel III will capture risk better than pre-crisis standards
Bank of Canada: central banks prefer higher haircuts
Bank of Canada study shows haircuts on collateralised assets is greater when central banks cannot lend exclusively to illiquid institutions
Philly Fed: school failure insurance reduces dropout rates
Philadelphia Federal Reserve study says introduction of insurance against college failure risk could increase retention rate
IMF: Gulf bank balance sheets severely impaired by economic downturn
Fund study finds link between economic conditions in Gulf states and banks’ nonperforming loans in region
Basel Committee demands more rigorous governance standards
Basel Committee on Banking Supervision issues new corporate governance principles for banks; calls for independent chief risk officer
González-Páramo: macroprudential policy implementation a work in progress
European Central Bank executive board member José Manuel González-Páramo says policymakers must understand full effects of macroprudential policies
BoJ vigilant over financial risks
Bank of Japan Financial System Report warns decline in quality of bank loans could undermine progress in financial markets
Fed’s Lacker: constructive ambiguity is unworkable
Richmond Federal Reserve president Jeffrey Lacker says fudging tactics over bailouts will be short-lived
Fed's Alvarez favours balanced incentive compensation design
Federal Reserve general counsel Scott Alvarez says overly restrictive compensation packages may create risk to organisations
BoE: consumption volatility explains global decline in real interest rate
Bank of England study shows lower global real interest rates caused by higher consumption volatility in traded goods
Wellink keen on expanding Basel III rules
Basel Committee chairman Nout Wellink says further improvements to new Basel rules will increase quality of capital base
NBER: narrow funding banks will help regulate ABS market
National Bureau of Economic Research study proposes new narrow funding banks to help regulate asset-backed securities
Fed proposes high frequency method to calculate equity returns
Federal Reserve study finds new method of measuring equity returns using high frequency data reduces forecasting bias
Australia's Debelle on risk and uncertainty
Reserve Bank of Australia assistant governor Guy Debelle says investors did not understand difference between risk and uncertainty before the crisis
UK FSA revisits trading regulation in comprehensive review
Financial Services Authority identifies valuation, capital framework coherence and risk management as key problem areas; issues 15 recommendations to revitalise standards
RBI: slow growth could help anchor inflation
Reserve Bank of India’s August Bulletin says slower growth could help address inflationary pressures
RBI moots new bank licences to increase competition
Reserve Bank of India says it may issue new bank licences; higher capital requirements are expected
IMF links historical house prices to default loss
IMF study finds strong link between historical house prices and loss in event of default
CEPR: Central banks stuck in interest rate trap
Centre for Economic Policy Research study says central banks will inevitably end up in a low interest rate trap during a crisis
IMF on Peru’s de-dollarisation experiment
IMF uses Peruvian experience in last decade to show benefits of de-dollarisation policies