Hints and tips:
...Its regular assessment is based on bank liabilities, implying an institution with higher equity capital funding will pay less, all being equal....
...The screen The US Federal Deposit Insurance Corporation covers more than 4,200 commercial banks, or one lender per 80,000 citizens....
...Late on Friday, Ercot announced it would adjust collateral for trading counterparties on a case-by-case basis, “in an attempt to protect the overall integrity of the Ercot market by mitigating the disruption...
...S&P removed its investment-grade rating for the company in June....
...It also handles options contracts based on Cboe’s Vix index, an actively traded measure of future volatility in the S&P 500....
...Recall that corporations have an incentive to buy back their own debt when credit spreads widen and the market value of debt is less than its face value....
...The Corporate Jet Files, an analysis of 1,000 securities filings by the Financial Times, has found that a significant number of corporations are still footing the bill for their executives to take personal...
...David Crow is the FT’s senior US business correspondent Photographs: Terry Ratzlaff...
...shares as collateral to borrow money from banks)....
...The credit-to-GDP ratio in China’s private sector has increased about a quarter over three years, making for a “high credit risk” in S&P’s view....
...S&P said its had lowered to AA+, from AAA, its rating for The Depository Trust Co (DTC), National Securities Clearing Corp (NSCC) and Fixed Income Clearing Corp (FICC) - all part of The Depository Trust...
...The Depository Trust & Clearing Corporation followed suit on Sunday, announcing that it wouldn’t be making changes “in our applicable valuations of securities (or haircuts) required for collateral.”...
...Press reports stoked speculation that Rio would sell an extra $8bn of shares if Aluminum Corporation of China, or Chinalco, failed to invest in the company....
...The rating agency had a long-standing “diversity score”, which prevented securities with homogenous collateral pools from winning the highest rating. S&P didn’t have such a score and neither did Fitch....
...The final cost of the S&L crisis between 1986 and 1995 was $153bn, or about 3 per cent of 1989 gross domestic product, of which taxpayers had to pay $124bn....
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