By the ECB/ESRB Project Team on climate risk monitoring As work on laying the analytical foundations for measuring climate-related financial risk matures, there is a need to better gauge its implications for systemic risk, and associated scope for a macroprudential policy response. Previous assessments of climate-related risks to financial stability for the European Union have[…]
By Pamela Pogliani and Philip Wooldridge Financial centres that cater predominantly to non-residents – which we refer to as cross-border financial centres (XFCs) –are important intermediaries of cross-border financial flows. For analysing capital flows and international interconnectedness, it can be useful to distinguish countries that are home to XFCs from other countries. We improve on previous methodologies for identifying[…]
Author(s): Zhengyang Jiang, Robert J. Richmond and Tony Zhang Date: July 2022 Abstract: We use a portfolio-based framework to understand what drives the decline of the U.S. net foreign asset (NFA) position and the reversal in returns earned on the US NFA (exorbitant privilege). We show that global savings gluts and monetary policies widened the[…]
Author(s): Ozge Akinci, Sebnem Kalemli-Özcan, Albert Queralto Date: July 2022 Abstract: Foreign investors’ changing appetite for risk-taking have been shown to be a key determinant of the global financial cycle. Such fluctuations in risk sentiment also correlate with the dynamics of UIP premia, capital flows, and exchange rates. To understand how these risk sentiment changes transmit[…]
By the European Systemic Risk Board (ESRB) The NBFI Monitor 2022 discusses the main developments related to investment funds and so-called other financial institutions (OFIs) in 2021 and provides an initial overview of the developments triggered by the war in Ukraine. Total assets of EU investment funds and OFIs grew by approximately 9% in 2021.[…]
CfP Deadline Date: August 31, 2022 Conference Event: December 19, 2022 Event Location: Bonn, Germany Keynote speaker(s): Martin Schneider (Stanford University) Organizer(s): University of Bonn, the University of Mannheim, and the Collaborative Research Center (CRC) TR 224 – EPoS The University of Bonn and the Collaborative Research Center (CRC) TR 224 – EPoS, a cooperation[…]
Author(s): Emmanuel Mourlon-Druol, Aliénor Cameron Date: July 2022 Abstract: Brexit and the rise of China as a leading international economic power have revived discussions about the geography of banking centres. This paper analyses the geographical evolution of banking centres since the 1970s, based on a database constructed from a ranking of the top banks in[…]
By the Single Resolution Board (SRB) The Single Resolution Board (SRB) has today published its assessment of bank resolvability, for the first time. The resolvability assessment and ‘heat-map’ for 2021 shows that banks have made significant progress in the SRB’s priority areas. The assessment is based on the information available to the SRB during the drafting[…]
Author(s): Charles W. Calomiris, Mark Carlson Date: July 2022 Abstract: After an unprecedented number of banks suspended operations during the Panic of 1893, the head regulator of banks chartered by the United States government allowed about 100 banks to reopen after certifying their solvency. We evaluate whether actions by bank owners to change management, contract[…]
By Financial Stability Board (FSB) When commissioned in late 2021, this report to the G20 was intended to discuss policies in the aftermath of a past shock. Since then, the economic and financial market situation has evolved considerably and vulnerabilities that COVID-19 support measures prevented from materialising may now come to the fore. Link: Exit[…]