Odd Lots cover image

Hyun Song Shin on the New Financial Stability Risks

Odd Lots

NOTE

The Changing Nature of Risks and Players in Finance

The Global Financial Crisis (GFC) was mainly focused on the banking sector, particularly credit risk. However, even safe securities can be at the center of financial stress events, as seen in the Treasury market in March 2020 and the UK guilt episode. The nature of risks has shifted to non-bank players, including non-bank financial intermediaries (MBFR). These intermediaries, such as asset managers, life insurance companies, pension funds, and hedge funds, have become influential in the financial system. Additionally, infrastructures like central counterparties and exchanges have gained importance. This evolution highlights the need to understand the different players and propagation mechanisms in the financial landscape.

00:00
Transcript
Play full episode

Remember Everything You Learn from Podcasts

Save insights instantly, chat with episodes, and build lasting knowledge - all powered by AI.
App store bannerPlay store banner