Sentences with phrase «hold more liquid assets»

The main thing needed is to change capital standards at banks, and make them hold more liquid assets, which will kill ROEs.

Rather, the story is that households are being more prudent about debt and are holding more liquid assets.

Not exact matches

More broadly, the regulatory agencies in the United States and the Financial Stability Board internationally have work under way focusing on possible fire - sale risk associated with the growing share of less liquid bonds held in asset management portfolios on behalf of investors who may be counting on same - day redemption when valuations fall.

Facing redemptions of less than 2 percent of assets, it's possible that many bond funds could have met redemptions simply by drawing down cash or other liquid assets (after all, bond mutual funds held more than $ 200 billion in short - term liquid assets at the end of May).

The expectation, roughly, is that an increase in interest rates will allow the banks to earn more on the liquid assets they are holding.

It is observed that lower rates mean lower borrowing costs or lower costs of drawing down liquid asset holding making the purchase of capital goods more attractive.

For those that want the quick hit and don't care about the underlying ideas, here is the main idea: A vehicle holding assets may appear more liquid than the assets themselves, but that is onl...

In terms of how this relates to asset allocation in retirement, if you are comfortable with any given 5 year period being slightly below breakeven on a worst case basis, you could consider having about 5 years» worth of expenses in more liquid and safe assets and have comfort that the rest of your portfolio in stocks will at least hold their value pretty well.