Tag Archives: Financial Markets

A treatise on risk basics

What is risk? Risk are of three types: Known—a risk that is recognized by all, Unknown—a risk that is known by at least one person but is not known to many and Unknowable—a risk that is totally unexpected and impossible to foresee Examples Known—...

Counterparty risk management needs a closer relook

Counterparty risk is the risk that a counterparty in a transaction will default prior to the expiration of the contract and will be unable to make agreed contractual payments Experience has shown, normally banking and financial crises have their...

DFA and Bureau of Consumer Financial Protection

Bureau of Consumer Financial Protection is the Federal Agency that is entrusted with primary responsibility for ensuring consumer protection. It was founded as per the Dodd Frank Act mandate and began operations on 21st July 2011. This Bureau...

Need to revisit ‘trade repositories’ our new financial markets infrastructure

No one knows exactly what the problems afflicting financial markets today. Hence, we should not be in a hurry to fix solutions beforehand and create new institutions / intermediaries / infrastructures just to make things comfortable, desirable...

Demystifying some elements of Pensions and Pension Plans

Pension is a regular payment made during a person’s retirement from an investment fund to which that person or their employer has contributed in the work life period of the person. Typically pension fund system has four basic characteristics...

Bilateral and Triparty Collateral Management

The recent financial markets crises have heightened and increased focus on collateralization. Collateralization is a process where a borrower pledges an asset as recourse or cover or a security to the lender for facilities or limits or credits...

Stock Markets and Status of Economy

 “It is usually agreed that casinos should, in the public interest, be inaccessible and expensive. And perhaps the same is true of Stock Exchanges” wrote John Maynard Keynes in 1935. Despite this dig, Keynes also recognized that stock markets...

Central Counter Parties have a greater role to play

This blog makes an attempt to cover the role of central counterparties in four parts as under: Part A– All about Central Counterparties Part B– Best practices framework for CCPs Part C – Some loud thinking on their future roles Part D...

Leadship in uncertain times

Leading through uncertainty can be as complex as four deaf and blind persons trying to explain how an elephant would look like by merely touching different parts of a wild elephant. I am also, placed in a similar environment. Despite this serious...

Financial Market Harmonization Through Financial Technology Application

The global financial industry is in the midst of unprecedented and challenging times. Changes in market conditions drive a very different economic climate which beckons the need to accelerate market harmonization in emerging countries. What...