Search: liquidity management

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1–5 of 5 collapsed search results for liquidity management

RBA Glossary definition for liquidity

liquidity – The capacity to sell an asset quickly without significantly affecting the price of that asset. Liquidity is also sometimes used to refer to assets that are highly liquid.

RBA Glossary definition for liquidity management

liquidity management – Activities within a financial institution to ensure that holdings of liquid assets (e.g. cash, bank deposits and other financial assets) are sufficient to meet its obligations as they fall due, including unexpected transactions.

Search Results

The Role of Collateral in Borrowing

20 Jan 2021 RDP 2021-01
Nicholas Garvin, David W Hughes and José-Luis Peydró
al 2017), and wholesale liquidity markets played a central role during this period. ... A positive relationship indicates that banks are spreading their fluctuating liquidity needs across both markets.
https://www.rba.gov.au/publications/rdp/2021/2021-01/full.html

References

20 Jan 2021 RDP 2021-01
Nicholas Garvin, David W Hughes and José-Luis Peydró
Allen F, E Carletti and D Gale (2009), ‘Interbank Market Liquidity and Central Bank Intervention’, Journal of Monetary Economics, 56(5), pp 639–652. ... Gale D and T Yorulmazer (2013), ‘Liquidity Hoarding’, Theoretical Economics, 8(2), pp
https://www.rba.gov.au/publications/rdp/2021/2021-01/references.html

Introduction

20 Jan 2021 RDP 2021-01
Nicholas Garvin, David W Hughes and José-Luis Peydró
al 2017), and wholesale liquidity markets played a central role during this period. ... Therefore, when collateral is high quality, it can facilitate the flow of liquidity beyond the role that it plays in mitigating counterparty risk.
https://www.rba.gov.au/publications/rdp/2021/2021-01/introduction.html

Institutional Background and Data

20 Jan 2021 RDP 2021-01
Nicholas Garvin, David W Hughes and José-Luis Peydró
Banks use both markets to manage short-term liquidity needs, and the repo market also acts as a source of funding for securities holdings (Hing, Kelly and Olivan 2016; Becker and ... tight liquidity conditions.
https://www.rba.gov.au/publications/rdp/2021/2021-01/institutional-background-and-data.html

The Repo and Unsecured Markets' Reactions to Stress

20 Jan 2021 RDP 2021-01
Nicholas Garvin, David W Hughes and José-Luis Peydró
A positive relationship indicates that banks are spreading their fluctuating liquidity needs across both markets. ... borrowing documented in Section 4.1, which would imply an overall net inflow of liquidity.
https://www.rba.gov.au/publications/rdp/2021/2021-01/the-repo-and-unsecured-markets-reactions-to-stress.html