The Heavenly Liquidity Twin : The Increasing Importance of Liquidity Risk

The Heavenly Liquidity Twin : The Increasing Importance of Liquidity Risk

Liquidity and solvency have been called the "heavenly twins" of banking (Goodhart, Charles, 'Liquidity Risk Management', Financial Stability Review -- Special Issue on Liquidity, Banque de France, No. 11, February, 2008). Since...

Full description

Bibliographic Details
Main Author:	Montes-Negret, Fernando
Format:	Policy Research Working Paper
Language:	English
Published:	2012
Subjects:	ACCOUNTING ALTERNATIVE INVESTMENTS AMORTIZATION ASSET PRICE ASSET PRICES ASSET VALUES ASSET-LIABILITY MANAGEMENT ASSETS RATIO ASYMMETRIC INFORMATION AUCTIONS BAILOUTS BALANCE SHEET BALANCE SHEET RATIOS BANK ASSETS BANK BALANCE SHEET BANK BRANCHES BANK CREDITORS BANK DEPOSIT BANK DEPOSITS BANK LIQUIDITY BANK MARKET BANKING INSTITUTION BANKING INSTITUTIONS BANKING SYSTEM BANKING SYSTEMS BANKRUPTCY BID BORROWING CAPACITY BROKERS BUSINESS CYCLE CAPITAL BASE CAPITAL MARKETS CASH FLOW CASH FLOWS CASH INFLOWS CASH OUTFLOWS CDS CENTRAL BANK CENTRAL BANKS COLLATERAL COLLATERAL RISKS COLLATERALIZATION COLLECTIVE ACTION COLLECTIVE ACTION PROBLEM COMMERCIAL BANKS COMMERCIAL PAPER COMMODITY PRICES COMPETITIVE MARKETS CONTINGENT LIABILITIES CORPORATE BORROWERS CREDIT CARDS CREDIT EXPANSION CREDIT LINES CREDIT QUALITY CREDIT RISK CREDIT RISKS CREDIT STANDING CREDITOR CREDITORS CRISIS COUNTRIES CURRENCY CURRENCY BOARD CURRENCY BOARDS CURRENCY MISMATCHES DEFAULTS DEFICITS DEGREE OF LIQUIDITY DEPOSIT DEPOSIT ACCOUNTS DEPOSIT INSURANCE DEPOSITORS DEPOSITS DERIVATIVES DERIVATIVES MARKETS DOMESTIC BANKING DOMESTIC BANKS DOMESTIC CURRENCY EQUITIES EQUITY CAPITAL EQUITY INDEXES EXCESS LIQUIDITY EXCHANGE RATE EXTERNAL BORROWING FACE VALUE FAIR PRICES FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL INSTITUTIONS FINANCIAL MARKETS FINANCIAL PERFORMANCE FINANCIAL STABILITY FINANCIAL SYSTEM FINANCIAL SYSTEMS FOREIGN BANKS FOREIGN CURRENCIES FOREIGN EXCHANGE FOREIGN EXCHANGE MARKETS FOREIGN EXCHANGE RISKS GOVERNMENT DEBT GOVERNMENT PAPER GOVERNMENT SECURITIES HOLDING HOLDINGS HOME CURRENCY ILLIQUID MARKETS ILLIQUIDITY INFORMATION ASYMMETRIES INFORMATION ASYMMETRY INFORMATION SYSTEMS INSIDER TRADING INSTITUTIONAL FUNDS INSTRUMENT INSURANCE COMPANIES INTEREST RATE INTEREST RATE RISK INTERNATIONAL BANK INTERNATIONAL SETTLEMENTS INVESTING INVESTMENT ALTERNATIVES INVESTMENT VEHICLES LENDER LENDER OF LAST RESORT LENDER-OF-LAST-RESORT LENDERS LEVEL OF INTEREST RATES LIABILITY LIABILITY MANAGEMENT LIABILITY SIDE LIABILITY SIDES LINES OF CREDIT LIQUID ASSETS LIQUIDATION LIQUIDITY LIQUIDITY CRISIS LIQUIDITY MANAGEMENT LIQUIDITY POSITION LIQUIDITY POSITIONS LIQUIDITY PROBLEM LIQUIDITY PROBLEMS LIQUIDITY RATIO LIQUIDITY RATIOS LIQUIDITY RISK LIQUIDITY RISKS LOAN LOCAL MARKET LOSS OF CONFIDENCE MACROECONOMIC POLICIES MARK-TO-MARKET MARKET ACCESS MARKET BORROWING MARKET BORROWINGS MARKET CONDITIONS MARKET CONFIDENCE MARKET DEPTH MARKET DEVELOPMENTS MARKET INTEREST RATES MARKET LIQUIDITY MARKET MAKER MARKET PARTICIPANTS MARKET PLAYERS MARKET PRICES MARKET SHARE MARKET-MAKING MATURITIES MATURITY MATURITY DATE MATURITY DATES MATURITY MISMATCH MATURITY MISMATCHES MATURITY TRANSFORMATION MATURITY TRANSFORMATIONS MONETARY POLICY MONEY MARKET MONEY MARKETS MORAL HAZARD MORTGAGES OPEN MARKET PAYMENT SYSTEMS PENSION PENSION FUNDS POLICY RESPONSES POLITICAL ECONOMY PORTFOLIO PORTFOLIOS PREPAYMENT PREPAYMENT OPTIONS PRICE VOLATILITY PRIVATE SECTOR CREDIT QUALITY OF ASSET QUALITY OF ASSETS REPAYMENTS RESERVE RESERVE REQUIREMENTS RESERVES RETURN RETURN ON ASSETS RETURNS RISK MANAGEMENT RISK MEASUREMENT RISK PROFILE RISK SHARING SAFETY NET SECURITIES SECURITIES MARKETS SETTLEMENT SETTLEMENT SYSTEMS SHAREHOLDERS SHORT-TERM ASSETS SHORT-TERM BORROWING SHORT-TERM BORROWINGS SMALL BUSINESSES SOLVENCY SUPERVISORY AGENCIES SUPERVISORY AGENCY SWAP T-BILLS TAX TERM DEPOSITS TIME DEPOSITS TRADING TRANSACTION TREASURIES TREASURY TREASURY BONDS TREASURY SECURITIES TRUST FUNDS TURNOVER TYPE OF INVESTORS UNDERLYING ASSETS VALUATION WITHDRAWAL WITHDRAWAL OF FUNDS
Online Access:	http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20091124162523 http://hdl.handle.net/10986/4331

Internet

http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20091124162523
http://hdl.handle.net/10986/4331

Cannot write session to /tmp/vufind_sessions/sess_ba5gcarm6s71f3vi23v8t6j5u7