The TRADE

DECEMBER 8, 2023

Instead, a combination of rising interest rates, inflation, soaring energy prices and geopolitical tensions have hit hedge funds, and subsequently the risk management practices of prime brokers. But unlike incidents of the past, the market mayhem of 2023 has not been confined to one event.

Broker 113

Broker Asset Management Trading Funds 113

Peak Frameworks

SEPTEMBER 12, 2023

The choice depends on the nature of the portfolio and the objectives of the risk management exercise. Example: During the 2008 Financial Crisis, many financial models based on parametric VaR underpredicted potential losses, causing significant challenges.

Portfolio 52

Portfolio Private Equity Risk Management Finance 52

Peak Frameworks

JULY 20, 2023

For example, the COVID-19 pandemic in 2020 resulted in a global economic downturn and a swift market crash, as countries imposed lockdowns and business activities were disrupted. When the bubble burst in 2008, it triggered a severe financial crisis.

Stock 40

Stock Economics Risk Management Investors 40

Peak Frameworks

SEPTEMBER 12, 2023

Economics is a vast discipline, but at its core, economics examines how entities manage their scarce resources. Economics not only shapes how we view the world, but also guides how businesses, governments, and individuals allocate resources. Adam Smith's Perspective on Economics Who was Adam Smith?

Economics 52

Economics Finance Finance Risk Management 52

Peak Frameworks

MAY 24, 2023

The advent of derivatives in the 1970s marked a significant milestone in global finance, offering a structured risk management approach and fostering efficient price discovery. These complex instruments enable investors to hedge risks, speculate on future price movements, and exploit arbitrage opportunities.

Portfolio Management 52

Portfolio Management Private Equity Investors Risk Management 52

Peak Frameworks

AUGUST 15, 2023

For example, during the 2008 financial crisis , the Fear and Greed Index tanked to extreme fear levels. It can help inform investment strategies, particularly in relation to market timing, risk management, and portfolio rebalancing. Conversely, during the bull market of 2017, the index hovered in the extreme greed range.

Investors 52

Investors Stock Risk Management Investment 52

Peak Frameworks

OCTOBER 30, 2023

Commercial Banks: These cater to businesses, providing loans, treasury, and cash management services. Following the 2008 financial crisis, regulations have intensified , pushing banks to allocate more resources to ensure compliance. Risk Management and Loan Loss Reserves Lending money is a risky business.

Banking 52

Banking Bank Proprietary Trading Investment Banking 52

Peak Frameworks

SEPTEMBER 11, 2023

Risk Management Companies utilize SPVs as a risk management tool by transferring assets and liabilities associated with particular risks to the SPV. In a sense, they compartmentalize risks, keeping the rest of the organization insulated.

IT 52

IT Debt Private Equity Investors 52

Peak Frameworks

AUGUST 24, 2023

Roles and Responsibilities of an Independent Director The independent director has several key responsibilities: Oversight : They monitor the company's executive management and strategic direction. Following the financial crisis of 2008, JP Morgan strengthened their oversight function by increasing the number of independent directors.

Government 52

Government Corporation Financial Statement Corporate Finance 52

Mergers and Inquisitions

MARCH 22, 2023

it’s starting to feel a lot like 2008. I explained the reasons for Silicon Valley Bank’s failure in last week’s article : incompetent risk management, massive losses on HTM securities, and a run on the bank that created the need to sell securities at a loss and get cash to cover the withdrawals. And the answer was “U.S.

Banking 98

Banking Bank Government Investment Banking 98

Peak Frameworks

MAY 2, 2024

The Basics of Deregulation Deregulation is the process of reducing government restrictions on businesses with the aim of improving the efficiency of markets. Risk management: Expertise in identifying, assessing, and mitigating financial risks is paramount.

IT 52

IT Finance Finance Financial Services 52

Peak Frameworks

AUGUST 15, 2023

Consider Warren Buffett , who might mention graduating from Columbia Business School and studying under Benjamin Graham, a pioneer of value investing. Core Competencies and Skills Showcase the specific skills that make you stand out.

Education 52

Education Private Equity IT Risk Management 52

Wall Street Mojo

FEBRUARY 9, 2024

Leveraging derivatives to capture the best results at a given point in time may help portfolio managers achieve closely matching outcomes, in addition to performance monitoring, effective risk management , risk diversification , etc. Insurance companies use this tool for risk management and planning.

Portfolio 52

Portfolio Portfolio Management Insurance Risk Management 52

The TRADE

OCTOBER 18, 2024

After a few turbulent years stemming from market volatility, rising interest rates, geopolitical turmoil, inflation, soaring energy prices, client performance, fee pressures, a mini banking crisis, looming regulation, constant tweaking of risk models, rising client complexities and the notorious Archegos saga… well, things are looking up.

Funds 69

Funds Broker Banking Bank 69

Peak Frameworks

SEPTEMBER 10, 2023

For instance, let's recall the Volkswagen Short Squeeze of 2008. Such incidents emphasize the importance of risk management and ethical considerations in finance. As more shares are bought, the price rises, triggering more short sellers to cover their positions, thereby accelerating the price surge.

Stock 52

Stock Shares Mergers and Acquisitions Finance 52

Peak Frameworks

SEPTEMBER 12, 2023

Trade Rules' Significance in Financing Decisions and Risk Management Understanding Tariffs Investment decisions, especially in sectors like manufacturing and agriculture, are often influenced by tariffs. This stalemate has implications for North American businesses, especially those looking to expand their market presence.

Trading 52

Trading Corporate Finance Private Equity Finance 52

Peak Frameworks

SEPTEMBER 11, 2023

Case in point: JP Morgan Chase utilized an OD strategy to manage the tumultuous transition during the 2008 financial crisis, demonstrating the potential of OD in the face of adversity. Change Management The financial sector is subject to constant change due to evolving regulations, market dynamics, and technological advancements.

Financial Institution 52

Financial Institution Finance Finance Management 52

Wall Street Mojo

JANUARY 17, 2024

Interest rate swaps are risk management tools, allowing parties to hedge against interest rate fluctuations and achieve desired cash flow structures. They tend to distribute their interest rate risk by creating smaller swaps and distributing them in the market through an inter-dealer broker. read more.

Financial Institution 91

Financial Institution Banking Bank Financial Modeling 91

The TRADE

APRIL 30, 2024

Over the past two decades, several critical financial market regulations have been implemented globally, particularly in response to the 2008 Global Financial Crisis (GFC). The years following 2008’s GFC experienced continued financial regulatory reform.

Financial Institution 69

Financial Institution Financial Market Risk Management Banking 69