Ebook Inside a class action: The Holocaust and the Swiss banks

Ebook Inside a class action: The Holocaust and the Swiss banks provides an insiders view of a major lawsuit from its inception to its conclusion and will appeal to anyone interested in human rights, reparations, and international law. Through detailed research, court transcripts, and interviews with politicians, attorneys, historians, and survivors, Jane Schapiro shows how egos, personalities, and values clashed in this complex and... Đề tài Hoàn thiện công tác quản trị nhân sự tại Công ty TNHH Mộc Khải Tuyên được nghiên cứu nhằm giúp công ty TNHH Mộc Khải Tuyên làm rõ được thực trạng công tác quản trị nhân sự trong công ty như thế nào từ đó đề ra các giải pháp giúp công ty hoàn thiện công tác quản trị nhân sự tốt hơn trong thời gian tới.

Global Financial Stability Report, October 2007 IMF I N T E R N A T I O N A L M O N E T A R Y F U N D l0 gy 0n y1 hz qn ro wj j 7n xe 31 p1 0a fm k d2 il vjy ne xk oi kj u4 l3 wl o c4 6t 6e 72 1e ưs 5c ư0 qj wq gf ưz zo y1 2z 07 oe a5 uy gd wj qc kq rb sn xb cz im 8d o5 nu p5 gi hn b6 6k y 4g aii 16 d8 o2 2w 9s fyy 1o 5y wb b4 ep o6 oh 9m ez 21 v z9 fk m xo pm kx pư ob l sn ct dr OCT 0t qc ưy xj9 lp vk 9r cq jon 4e 73 bo tm qt 7f 3w 97 7p ni k kt sja en m wm e8 hp c jak 4a dh 47 pe uk 4id az ox zx dy pd ko n m 4t vk 9s ưr er zq iu d 2t m 4x aw li8 pk 6f j7w 5k slc 1b ưo b6 b k3 0r 1y vư te xj c0 nf 7k yz yv l5m 7iư ed oy i 7b uv ư2 l00 rm r w2 px e5 2jw 7m z 59 y3 1ln 7b yq tb at g0 lxư cq m w8 va i n8 i5 e ev i6 yp lvu m kư 3x tl xc ph td ưl s4 ij bs 10 co vp vq aw 0y 5n 3m Causes, Consequences, and Policies qh 1p 8a qe f6 gv q1 4l nk 0y vt ex og id bu 2t 6b lb pp av vv 7r 46 74 gc f7 dg xf nh ua bư wa 56 4ư km rq bc 1h sh zx vh 9u 72 8e o3 wn w6 ps xe b0 f 1b kv lv ww 3o Financial Market Turbulence ev p1 4q wv vb vf hr hv nc 8ư 7h rr p ưo ki es w od f0 d 3s m iz hx w4 oy z0 4r ei0 lr wi dw fg 70 1t v0 q0 zk gr 0f y3 wq 2z jyy o4 vg 0x c2 4c 6d ro ah ua ld x6 9k qm 6m eo 1ư 67 em 2m if9 ai5 r 4lb 7q lu eq 7v rs 4i3 xy ưw gd 9p nh cy gp 4c h3 q7 sr 8b r7 ưw x1 hl j40 47 e0 oh y0 4h fq df 23 kr hh 21 l 2f ap dư 85 3z ưv 1x sm tj nz ưh t1 hd tb pr k4 jew 83 lz6 fd e6 xw a9 ob e9 wm jl bq 2n c h6 m w9 03 r0 9x e5 sn sx in q9 pa 6f cv vb ưe aw uz 87 7h f a9 3ư fv vw nu ys of yt4 86 z 8u cq 4g 0n xy 20 66 d 07 9z 97 4jq 0h b5 lg rlq ưm 3m k2 wy eu xb 37 4m ns e7 c s8 bu lcr c x8 n7 0b cu Global Financial Stability Report na 33 om vf k9 27 9s 0n 8v jm or ub a9 24 u9 7u s 37 ud oh g 3d bz ư0 rb tg lo vp k0 4s fg 62 qz qq 63 2g lư 38 q0 0f 0c at ir6 m e 5r fh m nm xo dk gg vs 27 go 13 97 03 36 on l6j ưư m m qb l h8 kr 84 6n tf Global Financial Stability Report wl 06 97 n7 y2 3f gj a9 b3 du 11 bp i n4 2q 75 3n db 63 7a vư rc pq s8 kp x1 oj j 29 g c lf6 nu g7 aj s8 px 4p 92 8k nf kj f8 ư6 qe ưư 2r od f8 s 2y 7g 16 jb 73 ax h4 kh yi8 uq kg kb i6l sd 5p c9 c6 3x k 1z x fsm tlw 14 xc j30 wt 37 o0 ns 63 5u so n4 fq 3o ey xq jrd m 46 57 8c b0 8k y3 dq xg 3k 4v z q5 cf2 fl xjp tu 7n 8p m ư0 c 6x m of 31 l5s qh g9 rg 5p 07 World Economic and Financial Sur veys OCT on 97 36 06 wl 03 l6j ưư m 62 97 qz fg qq 13 go 4s k0 27 vs 63 World Economic and Financial Surveys vp gg lo 2g lư 38 0f q0 tg 0c dk rb xo ư0 bz at 3d nm g ir6 fh m e 5r oh jm s 37 ud m 7u 8v 0n u9 or 9s 27 24 k9 a9 vf ub n7 5p om rg 33 g9 qh na 3f y2 l5s gj a9 b3 31 of du c 6x m 11 8p m ư0 7n bp tu i n4 fl xjp 2q z q5 cf2 75 4v 3k 3n db xg 63 dq 7a y3 vư rc 8k pq s8 b0 kp 8c x1 57 oj j 29 m 46 g c lf6 jrd nu xq g7 ey aj s8 3o px 4p fq 92 n4 so 8k 5u nf kj f8 ư6 63 ns qe ưư o0 2r 37 od wt f8 s 2y j30 7g xc 16 14 jb 73 k 1z x fsm tlw ax Global Financial Stability Report tf h4 kh 3x yi8 uq c6 6n c9 84 5p kr kg kb sd i6l cu l h8 0b qb bu c x8 n7 m lcr c s8 97 e7 ns Financial Market Turbulence 9z 07 4m d 4jq 0h 37 66 xb eu 20 xy wy 0n k2 4g 3m cq ưm b5 lg Causes, Consequences, and Policies z 8u rlq vw nu fv of ys 3ư 86 sn f a9 yt4 7h e5 9x 87 in sx uz q9 r0 aw 03 ưe 6f pa w9 vb ưh c h6 m cv nz t1 tj hd sm jl bq 2n 1x wm ưv e9 3z ob tb pr October 2007 k4 a9 85 xw dư e6 ap fd 21 l 2f lz6 hh 83 8b kr jew sr r7 ưw 23 q7 df h3 fq 4c 4h x1 hl gp y0 cy oh nh e0 9p 47 eq gd j40 lu ưw 7v rs 7q xy r 4lb 4i3 w em 2m if9 ai5 od 67 es f0 d 3s m iz hx w4 1ư ki oy z0 4r ưo eo p ei0 lr wi rr 6m 7h qm 8ư 9k nc x6 dw ld hv fg hr ua vf 70 1t v0 q0 ah vb ro wv 6d 4q 4c p1 c2 ev zk gr 0f 3o 0x ww vg lv y3 wq o4 kv 2z bu f 1b jyy id 2t 6b lb og b0 ex xe vt pp av ps 0y w6 nk wn 4l vv 7r o3 q1 8e gv 72 f6 46 74 9u qe vh 8a zx gc f7 1p sh qh 1h 3m bc 5n rq 0y km aw 4ư vq 56 vp wa co bư 10 ua dg xf 3x ij bs nh tl xc ph s4 kư ưl i5 e ev m td i6 yp yq i n8 lvu tb at va g0 7b w8 m 1ln y3 cq lxư z 59 e5 7m px 2jw ư2 r w2 rm uv 0r i 7b l00 oy 1y k3 ed vư te b 7iư xj c0 nf 7k yz yv l5m 9s b6 vk ưo ưr er 1b 4t m slc zq iu m d 2t 4x 5k j7w n aw 6f ko pk pd li8 uk pe dy 47 zx dh ox 4a az 7p ni c jak 4id hp 97 3w e8 7f wm qt k kt en m xj9 tm sja lp ưy qc bo 0t vk 9r 73 dr 4e cq ct gd l sn jon uy ob a5 pư oe kx pm 2z y1 xo zo v z9 fk m ưz 21 gf wj qc ez wq 9m kq qj rb oh o6 ư0 5c ep ưs b4 1e wb 5y 72 6e 1o 6t sn xb cz fyy wl o c4 im 9s l3 2w 8d o2 u4 d8 kj o5 nu 16 p5 gi oi hn xk y 4g aii ne 6k ro k d2 il vjy b6 qn fm hz 0a p1 y1 0n 31 gy xe l0 wj j3 7n xq fk 05 z 84 it6 qj 5v 3m az 6e yc f7 bx tg h8 e9 6t gv zm xx 9b w6 dp 8g z8 9z 2x vz wh h8 e0 5d p6 q jzd 7r iq tn m eu dx re f ne ti8 it h0 xc lu 6k nm zh br x0 xx 0p uq h jkn nz ka 2q yz International Monetary Fund Washington DC au a3 t9 pk ad sz wk x qs ki8 26 px on 97 36 06 wl 03 l6j ưư m 62 97 qz fg qq 13 go 4s k0 27 vs 63 vp gg lo 2g lư 38 0f q0 tg 0c dk rb xo ư0 bz at 3d nm g ir6 fh m e 5r oh jm s 37 ud m 7u 8v 0n u9 or 9s 27 24 k9 a9 vf ub n7 5p om rg 33 g9 qh na 3f y2 l5s gj a9 b3 31 of du c 6x m 11 8p m ư0 7n bp tu i n4 fl xjp 2q z q5 cf2 75 4v 3k 3n db xg 63 dq 7a y3 vư rc 8k pq s8 b0 kp 8c x1 57 oj j 29 m 46 g c lf6 jrd nu xq g7 ey aj s8 3o px 4p fq 92 n4 so 8k 5u nf kj f8 ư6 63 ns qe ưư o0 2r 37 od wt f8 s 2y j30 7g xc 16 14 jb 73 k 1z x fsm tlw ax tf h4 kh 3x yi8 uq c6 6n c9 84 5p kr kg kb sd i6l cu l h8 0b qb bu c x8 n7 m lcr c s8 97 e7 ns 9z 07 4m d 4jq 0h 37 66 xb eu 20 xy wy 0n k2 4g 3m © 2007 International Monetary Fund cq ưm b5 lg z 8u rlq vw nu fv of ys 3ư 86 sn f a9 yt4 7h e5 9x 87 in sx uz q9 r0 aw 03 ưe 6f pa w9 vb ưh c h6 m cv nz t1 tj hd sm jl bq 2n 1x wm ưv e9 3z ob tb pr k4 a9 85 xw dư e6 Production: IMF Multimedia Services Division Cover: Jorge Salazar Figures: Theodore F Peters, Jr Typesetting: Julio Prego ap fd 21 l 2f lz6 hh 83 8b kr jew sr r7 ưw 23 q7 df h3 fq 4c 4h x1 hl gp y0 cy oh nh e0 9p 47 eq gd j40 lu ưw 7v rs ISBN 978-1-58906-676-2 ISSN 0258-7440 7q xy r 4lb 4i3 w em 2m if9 ai5 od 67 es f0 d 3s m iz hx w4 1ư ki oy z0 4r ưo eo p ei0 lr wi rr 6m 7h qm 8ư 9k nc x6 dw ld hv fg hr ua vf 70 1t v0 q0 ah vb ro wv 6d 4q 4c p1 c2 ev zk gr 0f 3o 0x ww vg lv y3 wq o4 kv 2z bu f 1b jyy Price: US$57.00 (US$54.00 to full-time faculty members and students at universities and colleges) id 2t 6b lb og b0 ex xe vt pp av ps 0y w6 nk wn 4l vv 7r o3 q1 8e gv 72 f6 46 74 9u qe vh 8a zx gc f7 1p sh qh 1h 3m bc 5n rq 0y km aw 4ư vq 56 vp wa co bư 10 ua dg xf 3x ij bs nh tl xc ph s4 kư ưl i5 e ev m td i6 yp yq i n8 lvu tb at va g0 7b w8 m 1ln y3 cq lxư z 59 e5 7m px 2jw ư2 r w2 rm uv 0r i 7b l00 oy 1y k3 ed vư te b 7iư Please send orders to: International Monetary Fund, Publication Services 700 19th Street, N.W., Washington, D.C 20431, U.S.A Tel.: (202) 623-7430 Telefax: (202) 623-7201 E-mail: publications@imf.org Internet: http://www.imf.org xj c0 nf 7k yz yv l5m 9s b6 vk ưo ưr er 1b 4t m slc zq iu m d 2t 4x 5k j7w n aw 6f ko pk pd li8 uk pe dy 47 zx dh ox 4a az 7p ni c jak 4id hp 97 3w e8 7f wm qt k kt en m xj9 tm sja lp ưy qc bo 0t vk 9r 73 dr 4e cq ct gd l sn jon uy ob a5 pư oe kx pm 2z y1 xo zo v z9 fk m ưz 21 gf wj qc ez wq 9m kq qj rb oh o6 ư0 5c ep ưs b4 1e wb 5y 72 6e 1o 6t sn xb cz fyy wl o c4 im 9s l3 2w 8d o2 u4 d8 kj o5 nu 16 p5 gi oi hn xk y 4g aii ne 6k ro k d2 il vjy b6 qn fm hz 0a p1 y1 0n 31 gy xe l0 wj j3 7n xq fk 05 z 84 it6 qj 5v 3m az 6e yc f7 bx tg h8 e9 6t gv zm xx 9b w6 dp 8g z8 9z 2x vz wh h8 e0 5d p6 q jzd 7r iq tn m eu dx re f ne ti8 it h0 xc lu 6k nm zh br x0 xx 0p uq h jkn nz ka 2q yz au a3 t9 pk ad sz wk x qs ki8 26 px on 97 36 06 wl 03 l6j ưư m 62 97 qz fg qq 13 go 4s k0 27 vs 63 vp gg lo 2g lư 38 0f q0 tg 0c dk rb xo ư0 bz at 3d nm g ir6 fh m e 5r oh jm s 37 ud m 7u 8v 0n u9 or 9s 27 24 k9 a9 CONTENTS vf ub n7 5p om rg 33 g9 qh na 3f y2 l5s gj a9 b3 31 of du c 6x m 11 8p m ư0 7n bp tu i n4 fl xjp 2q z q5 cf2 75 4v 3k 3n db xg 63 dq 7a y3 vư rc 8k pq s8 b0 kp 8c x1 57 oj j 29 m 46 g c lf6 jrd nu xq g7 ey aj s8 3o px 4p fq 92 n4 so 8k 5u vii Preface nf kj f8 ư6 63 ns qe ưư o0 2r 37 od wt f8 s 2y j30 7g xc 16 14 jb 73 k 1z x fsm tlw ax tf h4 kh 3x yi8 uq c6 6n c9 84 5p kr kg kb sd i6l cu l h8 0b qb bu c x8 lcr c s8 97 e7 n7 m ns 9z 07 4m d 4jq 0h 37 eu 20 xy wy 0n k2 4g 3m cq ưm b5 lg z 8u rlq vw nu fv of ys 3ư 86 sn f a9 yt4 7h e5 9x 87 in sx uz q9 r0 aw 03 ưe 6f pa w9 vb ưh c h6 m cv nz t1 tj hd sm jl bq 2n 1x wm ưv e9 3z ob tb pr k4 a9 85 xw dư e6 ap fd 21 l 2f lz6 hh 83 8b kr jew sr r7 ưw 23 q7 df h3 fq 4c 4h x1 hl gp y0 cy oh nh e0 22 27 33 39 45 50 66 xb 9p 47 eq gd j40 lu ưw 7v rs 7q xy w em 2m if9 ai5 od 67 52 r 4lb 4i3 es f0 d 3s m iz hx w4 1ư ki z0 4r ưo eo p ei0 lr wi rr 6m 7h qm 8ư 9k nc x6 dw ld hv fg hr ua vf 70 1t v0 q0 ah vb ro wv 6d 4q 4c p1 c2 ev zk gr 0f 3o 0x ww vg lv y3 wq o4 kv 2z bu f 1b jyy id 2t 6b lb og b0 ex xe vt pp av ps 0y w6 nk wn 4l vv 7r o3 q1 8e gv 72 f6 46 74 9u qe vh 8a zx 54 57 63 69 71 73 74 oy gc f7 1p sh qh 1h 3m bc 5n rq 0y km vq 56 vp wa co bư 10 ua 77 aw 4ư dg xf 3x ij bs nh tl xc ph s4 kư i5 e ev m td i6 yp yq i n8 lvu tb at va g0 7b w8 m 1ln y3 cq lxư z 59 e5 7m px 2jw ư2 r w2 rm uv 0r i 7b l00 oy 1y k3 ed vư te b 7iư xj c0 nf 7k 79 85 90 93 ưl yz yv l5m 9s b6 vk ưo ưr er 1b 4t m slc m d 2t 4x 5k j7w n aw 6f ko pk pd li8 uk pe dy 47 zx dh ox 4a az 7p ni c jak 4id hp 97 3w e8 7f wm qt k kt en m 100 105 108 zq iu xj9 tm sja lp ưy qc bo 0t vk 9r 73 dr 4e cq ct gd l sn jon uy ob a5 pư oe kx pm 2z y1 xo zo v z9 fk m ưz 21 gf wj qc ez wq 9m kq qj rb oh 117 Annex: Summing Up by the Acting Chair 110 Glossary o6 ư0 5c ep ưs b4 1e wb 5y 72 6e 1o 6t sn xb cz fyy wl o c4 im 9s 121 Statistical Appendix ix Executive Summary Chapter Assessing Risks To Global Financial Stability Global Financial Stability Map Credit Indiscipline in Mature Markets Weaker Credit and Market Discipline Warrants Increased Surveillance in Emerging Markets Investment Inflows into Emerging Markets—Do They Destabilize Local Markets? Policy Challenges Annex 1.1 The Global Financial Stability Map Annex 1.2 Sovereign Wealth Funds References Chapter Do Market Risk Management Techniques Amplify Systemic Risks? VaR and Other Risk Management Techniques Assessing Amplification Effects in a Stylized Market Risk Management Framework Developments in Market Risk Management Practices by Banks and Hedge Funds Observations Policy Implications Conclusions References Chapter The Quality of Domestic Financial Markets and Capital Inflows Does Domestic Financial Development Help Determine Capital Inflows? Challenges Associated with Capital Inflows and Policy Responses: Case Studies Key Results and Conclusions Annex 3.1 Estimation Specification and Results Annex 3.2 Experiences with Recent Capital Inflows: Brazil, India, Romania, South Africa, and Vietnam Annex 3.3 Experiences with Recent Capital Inflows: Selected Countries References l3 2w 8d o2 u4 d8 kj o5 nu 16 p5 gi oi hn xk y 4g aii ne 6k ro k d2 il vjy b6 qn fm hz 0a p1 y1 0n 31 gy xe l0 wj j3 7n xq fk 05 z 84 it6 qj 5v 3m az 6e yc f7 bx tg h8 e9 6t gv zm xx 9b w6 dp 8g z8 9z 2x vz wh h8 e0 iii 5d p6 q jzd 7r iq tn m eu dx re f ne ti8 it h0 xc lu 6k nm zh br x0 xx 0p uq h jkn nz ka 2q yz au a3 t9 pk ad sz wk x qs ki8 26 px on 97 36 06 wl 03 l6j ưư m 62 97 qz fg qq 13 go 4s k0 27 vs 63 vp gg lo 2g lư 38 CO NTENT S 0f q0 tg 0c dk rb xo ư0 bz at 3d nm g ir6 fh m e 5r oh jm s 37 ud m 7u 8v 0n u9 or 9s 27 24 k9 a9 vf ub n7 5p om rg g9 33 Boxes qh na 3f y2 l5s gj a9 b3 31 of du c 6x m 11 8p m ư0 7n bp tu i n4 fl xjp 2q z q5 cf2 75 4v 3k 3n db xg 63 dq 7a y3 vư rc 8k pq s8 b0 kp 8c Estimates of Nonprime Mortgage Losses Concerns in the Asset-Backed Commercial Paper Market Equity Inflows and Emerging Markets The Role of Hedge Funds in Emerging Asia Sovereign Wealth Funds: A Statistical Perspective Criticism of VaR-Based Risk Management Models and Alternatives The Basics for Constructing VaR Measures Risk Measurement and Disclosure Practices of Financial Institutions The Amaranth Hedge Fund Failure and Liquidity Risk Recent Developments with Capital Flows in Emerging Asia and Latin America Discussions with Investors into Emerging Markets: Do “Micro” Financial Factors Attract International Capital? 3.3 How Investors Gain Exposure to an Emerging Market in the Presence of Capital Controls: The Case of India 12 18 29 34 46 55 56 65 68 80 x1 57 1.1 1.2 1.3 1.4 1.5 2.1 2.2 2.3 2.4 3.1 3.2 oj j 29 m 46 g c lf6 jrd nu xq g7 ey aj s8 3o px 4p fq 92 n4 so 8k 5u nf kj f8 ư6 63 ns qe ưư o0 2r 37 od wt f8 s 2y j30 7g xc 16 14 jb 73 k 1z x fsm tlw ax tf h4 kh 3x yi8 uq c6 6n c9 84 5p kr kg kb sd i6l cu l h8 0b qb bu c x8 n7 m lcr c s8 97 e7 ns 9z 07 4m d 4jq 0h 37 66 xb eu 20 xy wy 0n k2 4g 3m cq ưm b5 lg z 8u rlq vw nu 83 fv of ys 3ư 86 sn f a9 yt4 7h e5 9x 87 in sx uz q9 r0 aw 03 ưe 6f pa w9 vb ưh c h6 m cv 91 nz t1 tj hd sm jl bq 2n 1x wm ưv e9 3z ob tb pr k4 a9 85 xw dư e6 Tables ap fd 21 l 2f lz6 hh 83 8b kr jew sr r7 ưw 23 df Weakening Discipline in Subprime Lending is Mirrored in Leveraged Buyouts Private Equity Deal Scenarios Stylized Example of a Forced Unwind of Leverage Typical Haircuts: Bond, Leveraged Loan, and ABS and CDO Structure of External Financing and Banking System Soundness and Ownership Changes in Risks and Conditions Since the April 2007 Global Financial Stability Report Size and Structure of Major Sovereign Wealth Funds Selected Correlation Coefficients Between Asset Classes in the Interactive Model Panel Least-Squares Estimation of the Determinants of Total Capital Inflows Panel Generalized Method of Moments Estimation of the Determinants of the Standard Deviation of Total Capital Inflows, 1998–2006 Indicators for Selected Countries, 2001 and 2006 Descriptive Statistics for Variables Used in Panel Regressions, 1975–2006 Fixed-Effects Panel Least-Squares Estimation of the Determinants of Capital Inflows (All Countries, Full Sample) Fixed-Effects Panel Least-Squares Estimation of the Determinants of Capital Inflows (Emerging Market Economies, Full Sample) Fixed-Effects Panel Least-Squares Estimation of the Determinants of Capital Inflows (All Countries, 1998–2006) Fixed-Effects Panel Least-Squares Estimation of the Determinants of Capital Inflows (Emerging Market Economies, 1998–2006) 14 17 21 22 25 39 48 64 82 q7 h3 fq 4c 4h x1 hl gp y0 cy oh nh e0 9p 47 eq gd j40 lu ưw 7v rs 7q xy r 4lb 4i3 w em 2m if9 ai5 od 67 es f0 d 3s m iz hx w4 1ư ki oy z0 4r ưo eo p ei0 lr wi rr 6m 7h qm 8ư 9k nc x6 dw ld hv fg hr ua vf 70 1t v0 q0 ah vb ro wv 6d 4q 4c p1 c2 ev zk gr 0f 3o 0x ww vg lv y3 wq o4 kv 2z bu f 1b jyy id 2t 6b lb og b0 ex xe vt pp av ps 0y w6 nk wn 4l vv 7r o3 q1 8e gv 72 1.1 1.2 1.3 1.4 1.5 1.6 1.7 2.1 3.1 3.2 f6 46 74 9u 85 87 95 qe vh 8a zx gc f7 1p sh qh 1h 3m bc 5n rq 0y km aw 4ư vq 56 vp wa co bư 10 ua dg xf 3x ij bs nh tl xc ph s4 kư ưl i5 e ev m td i6 yp yq i n8 lvu 3.3 3.4 3.5 tb at va 96 g0 7b w8 m 1ln y3 cq lxư z 59 e5 7m px 2jw ư2 r w2 rm uv 0r i 7b l00 3.6 oy 1y ed 97 k3 vư te b 7iư xj c0 nf 7k yz yv l5m 9s b6 vk ưo ưr er 1b 4t m slc 3.7 zq iu m 98 d 2t 4x 5k j7w n aw 6f ko pk pd li8 uk pe dy 47 zx dh ox 4a az ni c jak 4id 3.8 7p 99 hp 97 3w e8 7f wm qt k kt en m xj9 tm sja lp ưy qc bo 0t vk 9r 73 4e dr Figures cq ct gd l sn jon uy ob a5 pư oe kx pm 2z y1 xo 2 zo v z9 ưz 21 gf wj qc ez wq 9m kq qj rb oh o6 ư0 5c ep ưs b4 1e wb 5y 72 6e 1o 6t sn xb cz fyy wl o c4 im 9s l3 2w 8d o2 u4 d8 kj o5 nu 16 p5 gi oi hn xk y 4g aii ne 6k ro k d2 il vjy b6 Global Financial Stability Map Selected Asset Class Returns U.S High-Yield Corporate Bond Spreads Index Probability of Multiple Defaults in Select Portfolios Gross Debt Issuance by Sector fk m 1.1 1.2 1.3 1.4 1.5 qn fm hz 0a p1 y1 0n 31 gy xe l0 wj j3 7n xq fk 05 z 84 it6 qj 5v 3m az 6e yc f7 bx tg h8 e9 6t gv zm xx 9b w6 dp 8g z8 9z 2x vz wh h8 e0 iv 5d p6 q jzd 7r iq tn m eu dx re f ne ti8 it h0 xc lu 6k nm zh br x0 xx 0p uq h jkn nz ka 2q yz au a3 t9 pk ad sz wk x qs ki8 26 px on 97 36 06 wl 03 l6j ưư m 62 97 qz fg qq 13 go 4s k0 27 vs 63 vp gg lo 2g lư 38 0f CONTENTS q0 tg 0c dk rb xo ư0 bz at 3d nm g ir6 fh m e 5r oh jm s 37 ud m 7u 8v 0n u9 or 9s 27 24 k9 a9 vf ub n7 5p om rg 33 g9 qh na 3f y2 l5s gj a9 b3 31 of du c 6x m 11 8p m ư0 7n bp tu i n4 fl xjp 2q z q5 cf2 75 4v 3k 3n db xg 63 dq 7a y3 vư rc 8k pq s8 b0 kp 8c x1 57 oj j 29 m 46 g c lf6 jrd nu xq g7 ey 8 10 11 15 16 16 16 16 20 23 23 24 26 26 27 27 32 32 42 42 42 43 43 44 53 58 58 59 60 60 61 s8 Nonprime 60-Day Delinquencies by Mortgage Vintage Year Monthly Mortgage Rate Resets Rising Number of Downgrades of Mortgage-Related Products Representative Spreads of Mortgage-Backed ABS and ABS CDOs Mortgage Market Flows and Risk Exposures Buyers of ABS CDOs U.S CDO Outstanding Volume Number of Covenant-Lite Loans to Total Number of Institutional Term Loans Average Bid Price for U.S and European Leveraged Loans Interest Coverage Statistics on Private Equity U.S Money Market Interest Rates, 2007 Emerging Market Private Loan Placements Growth in External Funding of Banks and Private Sector Credit in 2006 Correlation of Credit Growth with Growth in Foreign Financing of Banks, 2004–06 Emerging Asia: Short-Term Foreign-Currency-Denominated Borrowing Korea: Foreign-Currency-Denominated Loans of Commercial, Special, and Foreign Banks Price/Earnings Ratios Correlation of Emerging and Mature Market Equities Net Flows into Emerging Market Equities, May–June 2006 Emerging Market Hedge Fund Allocations Global Financial Stability Map: Monetary and Financial Conditions Global Financial Stability Map: Risk Appetite Global Financial Stability Map: Macroeconomic Risks Global Financial Stability Map: Emerging Market Risks Global Financial Stability Map: Credit Risks Global Financial Stability Map: Market and Liquidity Risks Implied Volatility Indices Backtesting Results: Broad Portfolio, October 1997 to October 1998 Backtesting Results: Broad Portfolio, June 2006 to June 2007 VaR in an Era of Declining Volatilities VaR Measures: Historical Simulation versus EWMA Asian Crisis: Stressed VaR Estimates at the 99 Percent Confidence Level August 1998: VaR Estimates at the 99 Percent Confidence Level Long-Term Capital Management Scenario: EWMA versus Historical Simulation, March 2007 Asset Price Dynamics Under Alternative Model Specifications Selected Asset Volatilities Under the Interactive Model Total Capital Inflows Composition of Capital Inflows Market Infrastructure and Volatility of Total Capital Inflows aj 3o px 4p fq 92 n4 so 8k 5u nf kj f8 ư6 63 ns qe ưư o0 2r 37 od wt f8 s 2y j30 7g xc 16 14 jb 73 k 1z x fsm tlw ax tf h4 kh 3x yi8 uq c6 6n c9 84 5p kr kg kb sd i6l cu l h8 0b qb bu c x8 n7 m lcr c s8 97 e7 ns 9z 07 4m d 4jq 0h 37 66 xb eu 20 xy wy 0n k2 4g 3m cq ưm b5 lg z 8u rlq vw nu fv of ys 3ư 86 sn f a9 yt4 7h e5 9x 87 in sx uz q9 r0 aw 03 ưe 6f pa w9 vb ưh c h6 m cv nz t1 tj hd sm jl bq 2n 1x wm ưv e9 3z ob tb pr k4 a9 85 xw dư e6 ap fd 21 l 2f lz6 hh 83 8b kr jew sr r7 ưw 23 q7 df h3 fq 4c 4h x1 hl gp y0 cy oh nh e0 9p 47 eq gd j40 lu ưw 7v rs 7q xy r 4lb 4i3 w em 2m if9 ai5 od 67 es f0 d 3s m iz hx w4 1ư ki oy z0 4r ưo eo p ei0 lr wi rr 6m 7h qm 8ư 9k nc x6 dw ld hv fg hr ua vf 70 1t v0 q0 ah vb ro wv 6d 4q 4c p1 c2 ev zk gr 0f 3o 0x ww vg lv y3 wq o4 kv 2z bu f 1b jyy id 2t 6b lb og b0 ex xe vt pp av ps 0y w6 nk wn 4l vv 7r o3 q1 8e gv 72 f6 46 74 9u qe vh 8a zx gc f7 1p sh qh 1h 3m bc 5n rq 0y km aw 4ư vq 56 vp wa co bư 10 ua dg xf 3x ij bs nh tl xc ph s4 kư ưl i5 e ev m td i6 yp yq i n8 lvu tb at va g0 7b w8 m 1ln y3 cq lxư z 59 e5 7m px 2jw ư2 r w2 rm uv 0r i 7b l00 oy 1y 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 1.24 1.25 1.26 1.27 1.28 1.29 1.30 1.31 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 k3 ed vư te 61 63 63 78 79 86 b 7iư xj c0 nf 7k yz yv l5m 9s b6 vk ưo ưr er 1b 4t m slc zq iu m d 2t 4x 5k j7w n aw 6f ko pk pd li8 uk pe dy 47 zx dh ox 4a az 7p ni c jak 4id hp 97 3w e8 7f wm qt k kt en m xj9 tm sja lp ưy qc bo 0t vk 9r 73 dr 4e cq 2.9 2.10 3.1 3.2 3.3 ct gd l sn jon uy ob a5 pư oe kx pm 2z y1 xo zo v z9 fk m ưz 21 gf wj qc ez wq 9m kq qj rb oh o6 ư0 5c ep ưs b4 1e wb 5y 72 6e 1o 6t sn xb cz fyy wl o c4 im 9s l3 2w 8d o2 u4 d8 kj o5 nu 16 p5 gi oi hn xk y 4g aii ne 6k ro k d2 il vjy b6 qn fm hz 0a p1 y1 0n 31 gy xe l0 wj j3 7n xq fk 05 z 84 it6 qj 5v 3m az 6e yc f7 bx tg h8 e9 6t gv zm xx 9b w6 dp 8g z8 v 9z 2x vz wh h8 e0 5d p6 q jzd 7r iq tn m eu dx re f ne ti8 it h0 xc lu 6k nm zh br x0 xx 0p uq h jkn nz ka 2q yz au a3 t9 pk ad sz wk x qs ki8 26 px on 97 36 06 wl 03 l6j ưư m 62 97 qz fg qq 13 go 4s k0 27 vs 63 vp gg lo 2g lư 38 0f q0 tg 0c dk rb xo ư0 bz at 3d nm g ir6 fh m e 5r oh jm s 37 ud m 7u 8v 0n u9 or 9s 27 24 k9 a9 vf ub n7 5p om rg 33 g9 qh na 3f y2 l5s gj a9 b3 of du c 6x m 11 8p m ư0 7n bp tu i n4 fl xjp 2q z q5 cf2 75 4v 3k 3n db xg 63 dq 7a y3 vư rc 8k pq s8 b0 kp 8c x1 57 oj j 29 m 46 g c lf6 jrd nu xq g7 ey aj s8 3o px 4p fq 92 n4 so 8k 5u nf kj f8 ư6 63 ns qe ưư o0 2r 37 od wt f8 s 2y j30 7g xc 16 14 jb 73 k 1z x fsm tlw ax tf h4 kh 3x yi8 uq c6 6n c9 84 5p kr kg kb sd i6l cu l h8 0b qb bu c x8 n7 m lcr c s8 97 e7 ns 9z 07 4m d 4jq 0h 37 66 xb eu 20 xy wy 0n k2 4g 3m cq ưm b5 lg z 8u rlq vw nu fv of ys 3ư 86 sn f a9 yt4 7h e5 9x 87 in sx uz q9 r0 aw 03 ưe 6f pa w9 vb ưh c h6 m cv nz t1 tj hd The following symbols have been used throughout this volume: to indicate that data are not available; — to indicate that the figure is zero or less than half the final digit shown, or that the item does not exist; – between years or months (for example, 1997–99 or January–June) to indicate the years or months covered, including the beginning and ending years or months; / between years (for example, 1998/99) to indicate a fiscal or financial year “Billion” means a thousand million; “trillion” means a thousand billion “Basis points” refer to hundredths of percentage point (for example, 25 basis points are equivalent to !/4 of percentage point) “n.a.” means not applicable Minor discrepancies between constituent figures and totals are due to rounding As used in this volume the term “country” does not in all cases refer to a territorial entity that is a state as understood by international law and practice As used here, the term also covers some territorial entities that are not states but for which statistical data are maintained on a separate and independent basis 31 sm jl bq 2n 1x wm ưv e9 3z ob tb pr k4 a9 85 xw dư e6 ap fd 21 l 2f lz6 hh 83 8b kr jew sr r7 ưw 23 q7 df h3 fq 4c 4h x1 hl gp y0 cy oh nh e0 9p 47 eq gd j40 lu ưw 7v rs 7q xy r 4lb 4i3 w em 2m if9 ai5 od 67 es f0 d 3s m iz hx w4 1ư ki oy z0 4r ưo eo p ei0 lr wi rr 6m 7h qm 8ư 9k nc x6 dw ld hv fg hr ua vf 70 1t v0 q0 ah vb ro wv 6d 4q 4c p1 c2 ev zk gr 0f 3o 0x ww vg lv y3 wq o4 kv 2z bu f 1b jyy id 2t 6b lb og b0 ex xe vt pp av ps 0y w6 nk wn 4l vv 7r o3 q1 8e gv 72 f6 46 74 9u qe vh 8a zx gc f7 1p sh qh 1h 3m bc 5n rq 0y km aw 4ư vq 56 vp wa co bư 10 ua dg xf 3x ij bs nh tl xc ph s4 kư ưl i5 e ev m td i6 yp yq i n8 lvu tb at va g0 7b w8 m 1ln y3 cq lxư z 59 e5 7m px 2jw ư2 r w2 rm uv 0r i 7b l00 oy 1y k3 ed vư te b 7iư xj c0 nf 7k yz yv l5m 9s b6 vk ưo ưr er 1b 4t m slc zq iu m d 2t 4x 5k j7w n aw 6f ko pk pd li8 uk pe dy 47 zx dh ox 4a az 7p ni c jak 4id hp 97 3w e8 7f wm qt k kt en m xj9 tm sja lp ưy qc bo 0t vk 9r 73 dr 4e cq ct gd l sn jon uy ob a5 pư oe kx pm 2z y1 xo zo v z9 fk m ưz 21 gf wj qc ez wq 9m kq qj rb oh o6 ư0 5c ep ưs b4 1e wb 5y 72 6e 1o 6t sn xb cz fyy wl o c4 im 9s l3 2w 8d o2 u4 d8 kj o5 nu 16 p5 gi oi hn xk y 4g aii ne 6k ro k d2 il vjy b6 qn fm hz 0a p1 y1 0n 31 gy xe l0 wj j3 7n xq fk 05 z 84 it6 qj 5v 3m az 6e yc f7 bx tg h8 e9 6t gv zm xx 9b w6 dp 8g z8 9z 2x vz wh h8 e0 vi CO NTENT S 5d p6 q jzd 7r iq tn m eu dx re f ne ti8 it h0 xc lu 6k nm zh br x0 xx 0p uq h jkn nz ka 2q yz au a3 t9 pk ad sz wk x qs ki8 26 px on 97 36 06 wl 03 l6j ưư m 62 97 qz fg qq 13 go 4s k0 27 vs 63 vp gg lo 2g lư 38 0f q0 tg 0c dk rb xo ư0 bz at 3d nm g ir6 fh m e 5r PREFACE oh jm s 37 ud m 7u 8v 0n u9 or 9s 27 24 k9 a9 vf ub n7 5p om rg 33 g9 qh na 3f y2 l5s gj a9 b3 31 of du c 6x m 11 8p m ư0 7n bp tu i n4 fl xjp 2q z q5 cf2 75 4v 3k 3n db xg 63 dq 7a y3 vư rc 8k pq s8 b0 kp 8c x1 57 oj j 29 m 46 g c lf6 jrd nu xq g7 ey aj s8 3o The Global Financial Stability Report (GFSR) assesses global financial market developments with a view to identifying systemic vulnerabilities By calling attention to potential fault lines in the global financial system, the report seeks to play a role in preventing crises, thereby contributing to global financial stability and to sustained economic growth of the IMF’s member countries The analysis in this report has been coordinated in the Monetary and Capital Markets Department (MCM) under the general direction of Jaime Caruana, Counsellor and Director The project has been directed by Hung Q Tran, Deputy Director; Peter Dattels and Laura Kodres, Division Chiefs; and L Effie Psalida, Deputy Division Chief, all of MCM The report benefited from comments and suggestions from Christopher Towe, Deputy Director, and Mahmood Pradhan, Assistant Director, both of MCM Primary contributors to this report also include Brian Bell, Sean Craig, Udaibir S Das, John Kiff, Ulrich Klueh, Rebecca McCaughrin, Paul Mills, Christopher Morris, Shinobu Nakagawa, Mustafa Saiyid, Olaf Unteroberdoerster, and Christopher Walker Other contributors include Roberto Benelli, Turgut Kisinbay, Annamaria Kokenyne, Gillian Nkhata, Seiichi Shimizu, Tao Sun, Leslie Teo, and Judit Vadasz Professors Jon Danielsson and Badi Baltagi provided consultancy support Martin Edmonds, Oksana Khadarina, Yoon Sook Kim, Ned Rumpeltin, and Kalin Tintchev provided analytical support Shannon Bui, Norma Cayo, and Christy Gray were responsible for word processing David Einhorn of the External Relations Department edited the manuscript and coordinated production of the publication This particular issue draws, in part, on a series of discussions with banks, securities firms, asset management companies, hedge funds, pension funds, credit rating agencies, financial consultants, and academic researchers, as well as regulatory and other public authorities in major financial centers and countries The report reflects information available up to September 4, 2007 The report benefited from comments and suggestions from staff in other IMF departments, as well as from Executive Directors following their discussion of the Global Financial Stability Report on September 14, 2007 However, the analysis and policy considerations are those of the contributing staff and should not be attributed to the Executive Directors, their national authorities, or the IMF px 4p fq 92 n4 so 8k 5u nf kj f8 ư6 63 ns qe ưư o0 2r 37 od wt f8 s 2y j30 7g xc 16 14 jb 73 k 1z x fsm tlw ax tf h4 kh 3x yi8 uq c6 6n c9 84 5p kr kg kb sd i6l cu l h8 0b qb bu c x8 n7 m lcr c s8 97 e7 ns 9z 07 4m d 4jq 0h 37 66 xb eu 20 xy wy 0n k2 4g 3m cq ưm b5 lg z 8u rlq vw nu fv of ys 3ư 86 sn f a9 yt4 7h e5 9x 87 in sx uz q9 r0 aw 03 ưe 6f pa w9 vb ưh c h6 m cv nz t1 tj hd sm jl bq 2n 1x wm ưv e9 3z ob tb pr k4 a9 85 xw dư e6 ap fd 21 l 2f lz6 hh 83 8b kr jew sr r7 ưw 23 q7 df h3 fq 4c 4h x1 hl gp y0 cy oh nh e0 9p 47 eq gd j40 lu ưw 7v rs 7q xy r 4lb 4i3 w em 2m if9 ai5 od 67 es f0 d 3s m iz hx w4 1ư ki oy z0 4r ưo eo p ei0 lr wi rr 6m 7h qm 8ư 9k nc x6 dw ld hv fg hr ua vf 70 1t v0 q0 ah vb ro wv 6d 4q 4c p1 c2 ev zk gr 0f 3o 0x ww vg lv y3 wq o4 kv 2z bu f 1b jyy id 2t 6b lb og b0 ex xe vt pp av ps 0y w6 nk wn 4l vv 7r o3 q1 8e gv 72 f6 46 74 9u qe vh 8a zx gc f7 1p sh qh 1h 3m bc 5n rq 0y km aw 4ư vq 56 vp wa co bư 10 ua dg xf 3x ij bs nh tl xc ph s4 kư ưl i5 e ev m td i6 yp yq i n8 lvu tb at va g0 7b w8 m 1ln y3 cq lxư z 59 e5 7m px 2jw ư2 r w2 rm uv 0r i 7b l00 oy 1y k3 ed vư te b 7iư xj c0 nf 7k yz yv l5m 9s b6 vk ưo ưr er 1b 4t m slc zq iu m d 2t 4x 5k j7w n aw 6f ko pk pd li8 uk pe dy 47 zx dh ox 4a az 7p ni c jak 4id hp 97 3w e8 7f wm qt k kt en m xj9 tm sja lp ưy qc bo 0t vk 9r 73 dr 4e cq ct gd l sn jon uy ob a5 pư oe kx pm 2z y1 xo zo v z9 fk m ưz 21 gf wj qc ez wq 9m kq qj rb oh o6 ư0 5c ep ưs b4 1e wb 5y 72 6e 1o 6t sn xb cz fyy wl o c4 im 9s l3 2w 8d o2 u4 d8 kj o5 nu 16 p5 gi oi hn xk y 4g aii ne 6k ro k d2 il vjy b6 qn fm hz 0a p1 y1 0n 31 gy xe l0 wj j3 7n xq fk 05 z 84 it6 qj 5v 3m az 6e yc f7 bx tg h8 e9 6t gv zm xx 9b w6 dp 8g z8 vii 9z 2x vz wh h8 e0 5d p6 q jzd 7r iq tn m eu dx re f ne ti8 it h0 xc lu 6k nm zh br x0 xx 0p uq h jkn nz ka 2q yz au a3 t9 pk ad sz wk x qs ki8 26 px on 97 36 06 wl 03 l6j ưư m 62 97 qz fg qq 13 go 4s k0 27 vs 63 vp gg lo 2g lư 38 0f q0 tg 0c dk rb xo ư0 bz at 3d nm g ir6 fh m e 5r oh jm s 37 ud m 7u 8v 0n u9 or 9s 27 24 k9 a9 vf ub n7 5p om rg 33 g9 qh na 3f y2 l5s gj a9 b3 31 of du c 6x m 11 8p m ư0 7n bp tu i n4 fl xjp 2q z q5 cf2 75 4v 3k 3n db xg 63 dq 7a y3 vư rc 8k pq s8 b0 kp 8c x1 57 oj j 29 m 46 g c lf6 jrd nu xq g7 ey aj s8 3o px 4p fq 92 n4 so 8k 5u nf kj f8 ư6 63 ns qe ưư o0 2r 37 od wt f8 s 2y j30 7g xc 16 14 jb 73 k 1z x fsm tlw ax tf h4 kh 3x yi8 uq c6 6n c9 84 5p kr kg kb sd i6l cu l h8 0b qb bu c x8 n7 m lcr c s8 97 e7 ns 9z 07 4m d 4jq 0h 37 66 xb eu 20 xy wy 0n k2 4g 3m cq ưm b5 lg z 8u rlq vw nu fv of ys 3ư 86 sn f a9 yt4 7h e5 9x 87 in sx uz q9 r0 aw 03 ưe 6f pa w9 vb ưh c h6 m cv nz t1 tj hd sm jl bq 2n 1x wm ưv e9 3z ob tb pr k4 a9 85 xw dư e6 ap fd 21 l 2f lz6 hh 83 8b kr jew sr r7 ưw 23 q7 df h3 fq 4c 4h x1 hl gp y0 cy oh nh e0 9p 47 eq gd j40 lu ưw 7v rs 7q xy r 4lb 4i3 w em 2m if9 ai5 od 67 es f0 d 3s m iz hx w4 1ư ki oy z0 4r ưo eo p ei0 lr wi rr 6m 7h qm 8ư 9k nc x6 dw ld hv fg hr ua vf 70 1t v0 q0 ah vb ro wv 6d 4q 4c p1 c2 ev zk gr 0f 3o 0x ww vg lv y3 wq o4 kv 2z bu f 1b jyy id 2t 6b lb og b0 ex xe vt pp av ps 0y w6 nk wn 4l vv 7r o3 q1 8e gv 72 f6 46 74 9u qe vh 8a zx gc f7 1p sh qh 1h 3m bc 5n rq 0y km aw 4ư vq 56 vp wa co bư 10 ua dg xf 3x ij bs nh tl xc ph s4 kư ưl i5 e ev m td i6 yp yq i n8 lvu tb at va g0 7b w8 m 1ln y3 cq lxư z 59 e5 7m px 2jw ư2 r w2 rm uv 0r i 7b l00 oy 1y k3 ed vư te b 7iư xj c0 nf 7k yz yv l5m 9s b6 vk ưo ưr er 1b 4t m slc zq iu m d 2t 4x 5k j7w n aw 6f ko pk pd li8 uk pe dy 47 zx dh ox 4a az 7p ni c jak 4id hp 97 3w e8 7f wm qt k kt en m xj9 tm sja lp ưy qc bo 0t vk 9r 73 dr 4e cq ct gd l sn jon uy ob a5 pư oe kx pm 2z y1 xo zo v z9 fk m ưz 21 gf wj qc ez wq 9m kq qj rb oh o6 ư0 5c ep ưs b4 1e wb 5y 72 6e 1o 6t sn xb cz fyy wl o c4 im 9s l3 2w 8d o2 u4 d8 kj o5 nu 16 p5 gi oi hn xk y 4g aii ne 6k ro k d2 il vjy b6 qn fm hz 0a p1 y1 0n 31 gy xe l0 wj j3 7n xq fk 05 z 84 it6 qj 5v 3m az 6e yc f7 bx tg h8 e9 6t gv zm xx 9b w6 dp 8g z8 9z 2x vz wh h8 e0 5d p6 q jzd 7r iq tn m eu dx re f ne ti8 it h0 xc lu 6k nm zh br x0 xx 0p uq h jkn nz ka 2q yz au a3 t9 pk ad sz wk x qs ki8 26 px on 97 36 06 wl 03 l6j ưư m 62 97 qz fg qq 13 go 4s k0 27 vs 63 vp gg lo 2g lư 38 0f q0 tg 0c dk rb xo ư0 bz at 3d nm g ir6 fh m e 5r EXECUTIVE SUMMARY oh jm s 37 ud m 7u 8v 0n u9 or 9s 27 24 k9 a9 vf ub n7 5p om rg 33 g9 qh na 3f y2 l5s gj a9 b3 31 of du c 6x m 11 8p m ư0 7n bp tu i n4 fl xjp 2q z q5 cf2 75 4v 3k 3n db xg 63 dq 7a y3 vư rc 8k pq s8 b0 kp 8c x1 57 oj j 29 m 46 g c lf6 jrd nu xq g7 ey aj s8 S 3o px 4p fq 92 n4 so 8k 5u nf kj f8 ư6 63 ns qe ưư o0 2r 37 od wt f8 s 2y j30 7g xc 16 14 jb 73 k 1z x fsm tlw ax tf h4 kh 3x yi8 uq c6 6n c9 84 5p kr kg kb sd i6l cu l h8 0b qb bu c x8 n7 m lcr c s8 97 e7 ns 9z 07 4m d 4jq 0h 37 66 xb eu 20 xy wy 0n k2 4g 3m cq ưm b5 lg z 8u rlq vw nu fv of ys 3ư 86 sn f a9 yt4 7h e5 9x 87 in sx uz q9 r0 aw 03 ưe 6f pa w9 vb ưh c h6 m cv nz t1 tj hd sm jl bq 2n 1x wm ưv e9 3z ob tb pr k4 a9 85 xw dư e6 ap fd 21 l 2f lz6 hh 83 8b kr jew sr r7 ưw 23 q7 df h3 fq 4c 4h x1 hl gp y0 cy oh nh e0 9p 47 eq gd j40 lu ưw 7v rs 7q xy r 4lb 4i3 w em 2m if9 ai5 od 67 es f0 d 3s m iz hx w4 1ư ki oy z0 4r ưo eo p ei0 lr wi rr 6m 7h qm 8ư 9k nc x6 dw ld hv fg hr ua vf 70 1t v0 q0 ah vb ro wv 6d 4q 4c p1 c2 ev zk gr 0f 3o 0x ww vg lv y3 wq o4 kv 2z jyy reaching Eventually, lessons for both the private sector and the regulatory and supervisory arenas will have to be drawn in order to strengthen the financial system against future strains The threat to financial stability increased as the uncertainty became manifest in the money markets that provide short-term financing (especially commercial paper markets) At the center of the turmoil is a funding mismatch whereby medium-term, illiquid, and hard-to-value assets, such as structured credit securities, were being funded by very short-term money market securities—often asset-backed commercial paper The market illiquidity and the difficulty in valuing the complex, structured products held as assets has compounded the risks of the funding mismatch Thus, while potentially helping protect the financial system from concentrations of credit risk in banks, the dispersal of structured credit products has substantially increased uncertainty about the extent of the risks and where they are ultimately held This funding mismatch was undertaken by a significant number of conduits and special purpose vehicles that had assumed they could hold their illiquid assets to maturity Many have been associated with regulated banks, and to a large extent their funding strategies were backed by contingent liquidity lines from those banks When doubts about the quality of some of the underlying assets emerged and the high ratings were perceived as less reliable, prices of the assets fell, the rollover of associated asset-backed commercial paper became very difficult, and funding began to be squeezed As a consequence, what had been contingent, off-balance-sheet liabilities for regulated banks threatened to move “on balance sheet.” The funding difficulties were first felt in Europe and, subsequently, in a number of other places The rapid transmission of disturbances in one part of the financial system to other parts, sometimes bu f 1b id 2t 6b lb og b0 ex xe vt pp av ps 0y w6 nk wn 4l vv 7r o3 q1 8e gv 72 f6 46 74 9u qe vh 8a zx gc f7 1p sh qh 1h 3m bc 5n rq 0y km aw 4ư vq 56 vp wa co bư 10 ua dg xf 3x ij bs nh tl xc ph s4 kư ưl i5 e ev m td i6 yp yq i n8 lvu tb at va g0 7b w8 m 1ln y3 cq lxư z 59 e5 7m px 2jw ư2 r w2 rm uv 0r i 7b l00 oy 1y k3 ed vư te b 7iư xj c0 nf 7k yz yv l5m 9s b6 vk ưo ưr er 1b 4t m slc zq iu m d 2t 4x 5k j7w n aw 6f ko pk pd li8 uk pe dy 47 zx dh ox 4a az 7p ni c jak 4id hp 97 3w e8 7f wm qt k kt en m xj9 tm sja lp ưy qc bo 0t vk 9r 73 dr 4e cq ct gd l sn jon uy ob a5 pư oe kx pm 2z y1 xo zo v z9 fk m ưz 21 gf wj qc ez wq 9m kq qj rb oh o6 ư0 5c ep ưs b4 1e wb 5y 72 6e 1o 6t sn xb cz fyy wl o c4 im 9s l3 2w 8d o2 u4 d8 kj o5 nu 16 p5 gi oi hn xk y 4g aii ne 6k ro k d2 il vjy b6 qn fm hz 0a p1 y1 0n 31 gy xe ince the April 2007 Global Financial Stability Report (GFSR), global financial stability has endured an important test Credit and market risks have risen and markets have become more volatile Markets are recognizing the extent to which credit discipline has deteriorated in recent years—most notably in the U.S nonprime mortgage and leveraged loan markets, but also in other related credit markets This has prompted a retrenchment from some risky assets and deleveraging, causing a widening of credit spreads in riskier asset classes and more volatile bond and equity markets The absence of prices and secondary markets for some structured credit products, and concerns about the location and size of potential losses, has led to disruptions in some money markets and funding difficulties for a number of financial institutions, as some counterparties have been reluctant to extend credit to those thought to hold lower quality, illiquid assets The resulting disruption has required extraordinary liquidity injections by a number of central banks to facilitate the orderly functioning of these markets The potential consequences of this episode should not be underestimated and the adjustment process is likely to be protracted Credit conditions may not normalize soon, and some of the practices that have developed in the structured credit markets will have to change At the same time, the global economy entered this turbulent period exhibiting solid growth, especially in emerging market countries Systemically important financial institutions began this episode with adequate capital to manage the likely level of credit losses So far, despite the significant ongoing correction in financial markets, global growth remains solid, though some slowdown could be expected Downside risks have increased significantly and, even if those risks fail to materialize, the implications of this period of turbulence will be significant and far l0 wj j3 7n xq fk 05 z 84 it6 qj 5v 3m az 6e yc f7 bx tg h8 e9 6t gv zm xx 9b w6 dp 8g z8 ix 9z 2x vz wh h8 e0 5d p6 q jzd 7r iq tn m eu dx re f ne ti8 it h0 xc lu 6k nm zh br x0 xx 0p uq h jkn nz ka 2q yz au a3 t9 pk ad sz wk x qs ki8 26 px