Persuaded that lax regulation of financial derivatives contributed to the 2008 financial crisis, policymakers in Congress and the Obama Administration have adopted a knee-jerk solution: regulate ...
The Federal Deposit Insurance Corp. found "shortcomings" in the resolution plans of three of the largest banks last week, and found Citigroup's resolution plan "deficient," all because of problems ...
A derivative is a securitized contract whose value is dependent upon one or more underlying assets. Its price is determined by fluctuations in that asset.
A crisis in over-the-counter derivatives could lead to fear, panic and a meltdown of global financial systems. But it needn't be so. With better understanding of the risks, that could easily be ...