On6 December 2011Bank of Englandposted on its website information about the new financial instrument, which main goal is to preserve liquidity during the shortage as to save the financial stability of the country.
“In light of the continuing exceptional stresses in financial markets, the Bank of England is today announcing the introduction of a new contingency liquidity facility, the Extended Collateral Term Repo (ECTR) Facility. This Facility is designed to mitigate risks to financial stability arising from a market-wide shortage of short-term sterling liquidity. There is currently no shortage of short-term sterling liquidity in the market. But should that position change, Continue reading “Extended Collateral Term Repo”
Quoting from the WSJ “Germany opposes the issuance of jointly backed European bonds, arguing that they would allow inefficient, highly indebted economies to gain a free ride on the stability and favorable financial conditions secured by the more-disciplined countries. German officials have said that such bonds can be an option only once all euro-zone member states have improved the health of their finances and boosted their competitiveness.” To put the above in simple words we do not want to pay.
Indeed this was expected as I recently got the opportunity to interact with a German Professor for Continue reading “Euro bonds a distant dream”
Before the Grexit and Brokers terminologies I did an article from the train that focused on European Debt Crisis : Resolution or Dissolution. While returning back from Indore to Mumbai by India‘s non stop trains Duronto express. I met a lady and has an argument on the financial market profession and the expression of love. She has her own point of view that the people from Finance industry do not understand emotions and run for money.
But I believe emotional difficulties are common to all the profession Continue reading “An argument between love and Finance Market professional”
CLNs are customized credit derivatives in the unregulated over the counter (OTC) market, issued by a bank or financial institution backed special purpose vehicle or trust. They are structured to allow the issuer to transfer a part of the credit risk to investors, who are willing to bear such a risk in return for higher yield. These deals are done outside the country, as OTC derivative contracts have no legal standing in India.This is how a CLN broadly works. A company borrows a certain amount from a bank or makes a convertible offering to that bank. Continue reading “CREDIT LINK NOTES (CLN)”
It was hot topic 4°C rise in temperature by 2020 in Rajasthan . Food production may fall by 50% by 2050 another study said.
I was just trying to figure out if the production will fall than “Who will feed India ?” India is loosing its ground where we enjoyed monopoly now Vietnam is claiming supremacy over India in commodities trading as Ho Chi Minh City continues to look like Southeast Asia’s emerging commodities hub. Already Vietnam is among the leaders in exports of a range of agricultural commodities Continue reading “Agri Commodities & Need for 2nd Green revolution in India”