Analyses

Following the experiences of the financial crisis in 2008/09, the issues of liquidity protection, market structures, regulation, transparency, etc. continue to undergo intensive analysis.

This is taking place from a global and economic, i.e. public and taxpayers’ perspective, as well as from the point of view of individual companies and other economic operators.

The analyses are being performed by organisations including supervisory authorities and central banks, supranational organisations, semi-autonomous and private economic research institutions, including the research departments of various financial institutions.

The focus hereby is on both regulatory aspects, capital market and infrastructure improvements, and optional measures and recommendations at a national and corporate level.

To summarise, it can be ascertained, that regardless of who is undertaking or commissioning these analyses, they all come to some identical overriding conclusions:

• Even the best regulation can’t offer 100% protection against a repeat of the credit or liquidity squeeze such as the one experienced in winter 2008/09, but merely reduces the likelihood of this occurring and contains the expected severity and effects of such an event
• The improved regulation of financial institutions, products and markets has at least partly resulted in a transfer of risks to non-financial companies and other market participants
• A liquidity insurance, independent of bank and public capital markets, for the real economy and financial sector is both desirable and necessary

The following is a selection of publicly available analyses, reports, regulations and other background information:

1. Abbassi, Iyer, Peidró, Tous: "Securities' Trading by Banks: Micro-evidence" (and credit supply to the real economy)
2. Accenture: "Basel III Handbook"
3. Accenture: "The Boom in Global Fintech Investment"
4. Bank for International Settlements/Basel Committee on Banking Supervision: "Basel III: A global regulatory framework for more resilient banks and banking systems"
5. Bank for International Settlements/Basel Committee on Banking Supervision: "Basel III Monitoring Report" (September 2015)
6. Bank for International Settlements/Basel Committee on Banking Supervision: "Frequently asked questions on the Basel III leverage ratio framework"
7. Bank for International Settlements/Committee on the Global Financial System: "Asset encumbrance, financial reform and the demand for collateral assets"
8. Bank for International Settlements/Committee on the Global Financial System: "Market-making and proprietary trading: industry trends, divers and policy implications"
9. Bank for International Settlements/Committee on Payments and Markt Infrastructures/Board of the International Organization of Securities Commissons: "Recovery of Financial Markets Infrastructure"
10. Bank for International Settlements: "Capital - final standards"
11. Bank for International Settlements: "Central counterparty exposure in stressed markets"
12. Bank for International Settlements: "Clearing risks in OTC derivatives markets: the CCP-bank nexus"
13. Bank for International Settlements: "Collateral requirements for mandatory central clearing of over-the-counter derivatives"
14. Bank for International Settlements: "Cross-border banking and global liquidity"
15. Bank for International Settlements: "Leverage and Risk Weighted Capital Requirements"
16. Bank for International Settlements: "Recovery of financial market infrastructures" (CCP)
17. Bank for International Settlements: "The Collateral Trap"
18. Bank for International Settlements: "The FinTech Opportunity"
19. Bank for International Settlements: "The Impact of Liquidity Regulation on Banks"
20. Bank for International Settlements: "The international monetary and financial system: a capital account historical perspective"
21. Bank for International Settlements: "Why does financial sector growth crowd out real economic growth?"
22. Bank of England: "A balancing act: the case for macroprudential margin requirements"
23. Bank of England: "A comparative analysis of tools to limit the procyclicality of initial margin requirements"
24. Bank of England: "An investigation into the procyclicality of risk-based initial margin models"
25. Bank of England: "Collateral and market stress: what are the rsiks?"
26. Bank of England: "Growing Fragilities? Balance Sheets in the Great Moderation"
27. Bank of England: "Market liquidity, closeout procedures and initial margin for CCPs"
28. Bank of England: "Omnibus Accounts - Access Policy"
29. Bank of England: "OTC derivatives reform and collateral demand impact"
30. Bank of England: "Systemic risk in derivatives markets: a pilot study using CDS data"
31. Bank of England: "The banks that said no: banking relationships, credit supply and productivity in the United Kingdom"
32. Bank of England: "The resilience of financial market liquidity"
33. Bank of England: "The role of collateral in supporting liquidity"
34. Bank of England/Carney: "The future of financial reform"
35. Bank of England/Cunliffe: "Market liquidity and market-based financing"
36. Bank of England/Haldane: "On microscopes and telescopes" (complex system-of-systems, t- vs. normal distribution)
37. Bank of England/Shafik: "Dealing with change: Liquidity in evolving market structures"
38. Bank of England/European Central Bank: "The case for a better functioning securitisation market in the European Union"
39. Bain & Company: "Deutschlands Banken 2014: Jäger des verlorenen Schatzes"
40. Bain & Company, Institute of International Finance: "Restoring Financing and Growth to Europe's SMEs"
41. Boston Consulting Group: "Global Risk 2013-2014: Breaching the next banking barrier"
42. Brookings, Summers, Larry, et al.: "Have big banks gotten safer?"
43. Brunnermeier, Journal of Economic Perspectives: "Deciphering the Liquidity and Credit Crunch 2007-2008"
44. Brunnermeier, Pedersen, The Society for Financial Studies: "Market Liquidity and Funding Liquidity"
45. Bussière, Cheng, Chinn, Lisack, Journal of International Money and Finance: "For a few dollars more: Reserves and growth in times of crisis"
46. Centre for Economic Policy Research: "A New Start for the Eurozone: Dealing with Debt"
47. Centre for Economic Policy Research: "Financial structure and growth revisited"
48. Centre for Economic Policy Research: "Financial union: Resilience in the Eurozone"
49. Centre for Economic Policy Research: "Managing sudden stops"
50. Centre for Economic Policy Research: "Restarting European Long-Term Investment Finance"
51. Centre for Economic Policy Research: "Secular Stagnation: Fact, Causes and Cures"
52. Centre for Economic Policy Research: "The Great Recession: A Self-Ful…lling Global Panic"
53. Centre for Economic Policy Research: "Whatever it takes: The Real Effects on Unconventional Monetary Policy"
54. CFTC - SEC Advisory Committee: "Recommendations Regarding Regulatory Rseponses to the Market Events of May 6, 2010"
55. Citi: "Digital Disruption - How FinTech is Forcing Banking to a Tipping Point"
56. Council on Foreign Relations: "The Spread of Central Bank Currency Swaps Since the Financial Crisis"
57. CPB Netherlands Bureau for Economic Policy Analysis: "How Large was the Credit Crunch in the OECD?"
58. Deutsche Bank Research: "KMU-Pfandbriefe: Ein Instrument mit viel Potenzial"
59. Deutsche Bank Research: "Liquidity is key for the central clearing of derivatives"
60. Deutsche Bank Research: "Mittelstandsfinanzierung im Euroraum: Neue Lösungen für ein altes Problem"
61. Deutsche Bank Research: "Wer zahlt die Rechnung? Europas neues Bail-in Regime und die Auswirkungen auf die Bankenfinanzierung"
62. Deutsche Bank Research: "Tight bank lending, lush bond markets"
63. Deutsche Bundesbank: "Cross-border liquidity, relationships and monetary policy: evidence from the Euro area interbank crisis"
64. European Central Bank: "Bubbles, Banks and Financial Stability"
65. European Central Bank: "Collateral, central clearing counterparties and regulation"
66. European Central Bank: "Distributed ledger technologies in securities post-trading"
67. European Central Bank: "Financial Stability Review - May 2014"
68. European Commission: "Markets in Financial Instruments Directive (MiFID II)"
69. European Investment Bank: "COVID-19 and the EU labour market: Corporate health matters"
70. European Securities and Markets Autority: "European Market Infrastructure Regulation (EMIR)"
71. Federal Deposit Insurance Company, Hoenig, Vice Chairman: "A Capital Conflict"
72. Federal Deposit Insurance Company, Hoenig, Vice Chairman: "Basel III Capital: A Well-Intended Illusion"
73. Fedreal Deposit Insurance Company: "Crisis and Response, An FDIC History, 2008 - 2013"
74. Federal Deposit Insurance Company: "Regulatory Capital Treatment of Certain Centrally Cleared Derivative Contracts Under Regulatory Capital Rules"
75. Federal Deposit Insurance Company, Hoenig, Vice Chairman: "Strengthening Global Capital: An Opportunity Not To Be Lost"
76. Federal Reserve Bank of Cleveland: "Are the New Basel III Capital Buffers Countercyclical? Exploring the Option of a Rule-Based Countercyclical Buffer"
77. Federal Reserve Bank of Dallas: "Unprecedented Actions: The Federal Reserve's Response to the Global Financial Crisis in Historical Perspective"
78. Federal Reserve Bank of New York: "Counterparty Risk in Material Supply Contracts"
79. Federal Reserve Bank of New York: "Cross-Country Evidence on Transmission of Liquidity Risk through Global Banks"
80. Federal Reserve Bank of New York: "Does Central Clearing Reduce Counterparty Risk in Realistic Financial Networks?"
81. Federal Reserve Bank of New York: "Gates, Fees, and Preemptive Runs"
82. Federal Reserve Bank of New York: "Intermediary Leverage Cycles and Financial Stability"
83. Federal Reserve Bank of New York: "International Banking and Liquidity Risk Transmission: Lessons from across Countries"
84. Federal Reserve Bank of New York: "Large and Complex Banks"
85. Federal Reserve Bank of New York: "Liquidity Risk and U.S. Bank Lending at Home and Abroad"
86. Federal Reserve Bank of New York: "Liquidity Risk. Liquidity Management, and Liquidity Policies"
87. Federal Reserve Bank of New York: "Magnifying the Risk of Fire Sales in the Tri-Party Repo Market"
88. Federal Reserve Bank of New York: "Repo Runs: Evidence from the Tri-Party Repo Market"
89. Federal Reserve Bank of New York: "Shadow Banking"
90. Federal Reserve Bank of New York: "The Growth of Murky Finance"
91. Federal Reserve Bank of San Francisco: "Bank Counterparties and Collateral Usage"
92. Federal Reserve Bank of San Francisco: "Bubbles Tomorrow, Yesterday, but Never Today?"
93. Federal Reserve Bank of San Francisco: "Cash Is Dead! Long Live Cash!"
94. Federal Reserve Bank of San Francisco: "Financial Stability and Monetary Policy: Happy Marriage or Untenable Union
95. Federal Reserve Bank of San Francisco: "Long Road to Normal for Bank Business Lending"
96. Federal Reserve Bank of San Francisco: "Variable Capital Rules in a Risky World"
97. Federal Reserve Bank of St. Louis: "Self-Fulfilling Credit Cycles"
98. Federal Reserve Bank of St. Louis: "The Credit Crunch of 2007-2008: A Discussion of the Background, Market Reactions, and Policy Responses"
99. Federal Reserve Board, FEDS Working Paper: "The Demand for Short-Term, Safe Assets and Financial Stability: Some Evidence and Implications for Central Bank Policies"
100. Financial Stability Board: "Cyber Lexicon"
101. International Accounting Standards Board: "IFRS 9 - Financial Instruments"
102. International Capital Market Association: "Collateral is the new cash: the systemic risks of inhibiting collateral fluidity"
103. International Monetary Fund (Working Paper): "Aggregate Uncertainty and the Supply of Credit"
104. International Monetary Fund (Working Paper): "A Simple Macroprudential Liquidity Buffer"
105. International Monetary Fund (Working Paper): "Capital Control Measures: A New Dataset"
106. International Monetary Fund (Working Paper): "Financial Crisis in DSGE Models: Selected Applications of MAPMOD"
107. International Monetary Fund (Working Paper): "Financial Frictions and Sources of Business Cycle"
108. International Monetary Fund (Working Paper): "Fiscal Buffers, Private Debt, and Stagnation: The Good, the Bad and the Ugly"
109. International Monetary Fund: "Global Financial Stability Report"
110. International Monetary Fund (Working Paper): "Global Liquidity through the Lens of Monetary Aggregates"
111. International Monetary Fund (Policy Paper): "Global Liquidity - Issues for Surveillance"
112. International Monetary Fund (Working Paper): "High Liquidity Creation and Bank Failures"
113. International Monetary Fund (Working Paper): "Innovation and Corporate Cash Holdings in the Era of Globalizytion"
114. International Monetary Fund (Working Paper): "Limiting Taxpayer "Puts" - An Example from Central Counterparties"
115. International Monetary Fund (Working Paper): "Liquidity Trap and Excessive Leverage"
116. International Monetary Fund (Working Paper): "Macro-Prudential Policies to Mitigate Financial System Vulnerabilities"
117. International Monetary Fund (Working Paper): "Reconsidering Bank Capital Regulation: A New Combination of Rules, Regulators, and Market Discipline"
118. International Monetary Fund (Policy Paper): "Safe Assets: Financial System Cornerstone"
119. International Monetary Fund (Working Paper): "Safe Havens, Feedback Loops, and Shock Propagation in Global Asset Prices"
120. International Monetary Fund (Working Paper): "Small and Medium Size Enterprises, Credit Supply Shocks, and Economic Recovery in Europe"
121. International Moentary Fund (Working Paper): "SMEs’ Access to Finance in the Euro Area: What Helps or Hampers?"
122. International Monetary Fund (Working Paper): "Sovereign Debt Markets in Turbulent Times: Creditor Discrimination and Crowding-Out"
123. International Monetary Fund (Working Paper): "Supervisory Roles in Loan Loss Provisioning in Countries implementing IFRS"
124. International Monetary Fund (Working Paper): "The Financial Wealth of Corporations: A First Look at Sectoral Balance Sheet Data"
125. International Monetary Fund (Working Paper): "The Macroeconomic Relevance of Credit Flows: An Exploration of U. S. Data"
126. International Monetary Fund (Working Paper): "The Morning After - The Impact on Collateral Supply After a Major Default"
127. International Monetary Fund (Working Paper): "The Net Stable Funding Ratio: Impact and Issues for Consideration"
128. International Monetary Fund (Working Paper): "The Regulatory Responses to the Global Financial Crisis: Some Uncomfortable Questions"
129. International Monetary Fund (Working Paper): "The Use and Effectiveness of Macroprudential Policies: New Evidence"
130. International Monetary Fund (Staff Discussion Note): "Toward a Fiscal Union for the Euro Area"
131. International Monetary Fund (Working Paper): "What is Shadow Banking?"
132. International Monetary Fund (Working Paper): "Why Do Bank-Dependent Firms Bear Interest-Rate Risk?"
133. International Monetary Fund (Working Paper): "Why Was Asia Resilient? Lessons from the Past and for the Future"
134. International Organization for Securities Commissions: "Securities Markets Risk Outlook"
135. Kirilenko, et. al.: "The Flash Crash: The Impact of High Frequency Trading on an Electronic Market"
136. KPMG: "Basel IV - Emerging from the mist?"
137. Lubben, Seton Hall University: "Nationalize the Clearinghouses!"
138. McKinsey Global Institute: "The new global competition for corporate profits"
139. Metis Risk Consulting, Feasta: "Trade-Off, Financial System Supply-Chain Cross-Contagion: a study in global systemic collapse"
140. Morrison, Roe, Sontchi: "Rolling Bank the Repo Safe Harbors"
141. Nanex: "Flash Equity Failures in 2006, 2007, 2008, 2009, 2010 und 2011"
142. Nanex: "The Rise of the HFT Machines"
143. National Bureau of Economic Research: "Multinationals and the High Cash Holdings Puzzle"
144. National Bureau of Economic Research: "Peer-to-peer markets"
145. National Bureau of Economic Research: "Precautionary Hoarding of Liquidity and Inter-Bank Markets: Evidence from the Sub-prime Crisis
146. OECD - Organisation for Economic Co-operation and Developement: "Financing SMEs and Entrepreneurs 2013"
147. Office of Financial research: "Benefits and Risks of Central Clearing in the Repo Market"
148. Office of Financial Research: "Credit Ratings in Financial Regulation: What's Changed Since the Dodd-Frank Act?"
149. Office of Financial Research: "Interconnectedness in the Global Financial Market"
150. Office of Financial Research: "Looking Deeper, Seeing More: A Multilayer Map of the Financial System"
151. Office of Financial Research: "Measuring Systemwide Resilience of Central Counterparties"
152. Office of Financial Research: "Safe Assets as Commodity Money"
153. Office of Financial Research: "The Volatility Paradox: Tranquil Markets May Harbor Hidden Risks"
154. Oliver Wyman/Margan Stanley: "Liquidity Conundrum: Shifting risks, what it means"
155. Oliver Wyman: "Liquidity Risk - The Killer Risk Now Takes Aim at the Corporate Sector"
156. Oliver Wyman: "The Financial Crisis of 2015 - An Avoidable History"
157. PIMCO: " The Unintended Ripple Effect of New Bank Capital Requirements"
158. Project Syndicate/Nouriel Roubini: "The Liquidity Time Bomb"
159. Reserve Bank of Australia, Debelle, Guy: "Volatility and market pricing"
160. RIETI - Research Institute of Economy, Trade & Industry: "Financial Shocks and Firm Exports: A natural experiment approach with a massive earthquake"
161. Royal Bank of Scotland: "The credit liquidity trap"
162. Sigurjonsson, Commissioned by the Prime Minister of Iceland: "Monetary Reform - A Better Monetary System for Iceland"
163. Social Science Research Network: "The Strategic Under-Reporting of Bank Risk"
164. Standard & Poor's: "Why Germany's Mid-Market May Slowly Seek New Ways To Fund Growth"
165. The Economist, Economist Intelligence Unit: "Benefits and unintended consequences of financial markets reform"
166. University of Lausanne, Bacchetta, Benhima, Poilly: "The surge in corporate cash and the nature of financial shocks"
167. U. S. Government: "The Financial Crisis Inquiry Report"
168. U. S. Senate: "Dodd-Frank Wall Street Reform and Consumer Protection Act"
169. World Economic Forum: "The Future of Financial Services"
170. World Economic Forum: "The Role of Financial Services in Society"