This technical note targets knowing the many sources of bank funding and their functionality in recent years, notably during the fiscal crisis. It underscores the close link between "capital construction" and "liquidity" in credit institutions. It reasons that there is no bank backing construction but each instance hinges on the asset policy of each special lender. It notes the growing importance of liquidity risk management which had been ignored by banks.
PUBLICATION DATE: January 25, 2011 PRODUCT #: IES408-HCB-ENG
This is just an excerpt. This case is about FINANCE & ACCOUNTING