Search: margin loans
RBA Glossary definition for margin loans
margin loans – Loans which are made to investors to purchase financial assets, usually equities or units in managed funds. These assets are used as security for the margin loan. Margin loan clients are required to keep the ratio of borrowings to the value of underlying security below a pre-arranged level. When the ratio goes above this level, lenders will make a margin call, requiring the borrower to either repay some of the loan or provide additional security to support the loan.
Search Results
The Australian Financial System in the 1990s
24 Nov 2006
Conferences
PDF
101KB
RBA Conference Volume 2000
https://www.rba.gov.au/publications/confs/2000/pdf/gizycki-lowe.pdf
On the Economics of Committed Liquidity Facilities | Conference – 2013
19 Aug 2013
Conferences
to the bank of making a unit of loans is given by r. ... We assume the loan market is completely passive – banks can make whatever quantity of loans they want at the equilibrium interest rate.
https://www.rba.gov.au/publications/confs/2013/bech-keister.html
Exploring the Link between the Macroeconomic and Financial Cycles | Conference – 2017
16 Mar 2017
Conferences
This shock is often brought on by bad news that increases uncertainty about future asset returns, causing lenders to increase margins. ... To explain this result, the authors develop a dynamic general equilibrium model in which the unsecured component of
https://www.rba.gov.au/publications/confs/2017/cagliarini-price.html
The Role of Institutional Investors in the Evolution of Financial Structure and Behaviour | Conference – 1996
9 Jul 1996
Conferences
Bank failures following loan losses. Moderate. 1974. Herstatt. Bank failure following trading losses. ... 1990–91. Norwegian banking crisis. Bank failures following loan losses. Low. 1991–92.
https://www.rba.gov.au/publications/confs/1996/davis.html
The Evolution of Risk and Risk Management – A Prudential Regulator's Perspective | Conference – 2007
20 Aug 2007
Conferences
Unregulated mortgage originators, making use of broker networks, have been very successful in originating, packaging and securitising loans, and distributing the resulting debt securities directly to investors. ... to risk management requirements being
https://www.rba.gov.au/publications/confs/2007/laker.html
Financial Markets, Institutions and Liquidity | Conference – 2013
19 Aug 2013
Conferences
However, lending to similar industries has a negative impact on the lending margin because competition in the loan market increases. ... institutions with higher profitability, higher capital ratios, and fewer problem loans pay lower rates.
https://www.rba.gov.au/publications/confs/2013/allen-carletti.html
OTC Derivatives Reform: Netting and Networks | Conference – 2013
19 Aug 2013
Conferences
While variation margin is often already exchanged under existing bilateral arrangements, initial margin is generally not. ... In general, portfolio margining materially reduces the amount of collateral required for initial margin (Table 3).
https://www.rba.gov.au/publications/confs/2013/heath-kelly-manning.html
Finance and Welfare States in Globalising Markets | Conference – 2007
20 Aug 2007
Conferences
assets. In addition, access to loans and stocks can imply wider ex post income differences across investors by making it easier to undertake risky investments. ... lending-borrowing interest margins and indicators of borrowing limits on housing purchases
https://www.rba.gov.au/publications/confs/2007/bertola.html
Promoting Liquidiity: Why and How?
23 Oct 2008
Conferences
PDF
224KB
RBA Conference Volume 2008
https://www.rba.gov.au/publications/confs/2008/pdf/kearns-lowe.pdf
Promoting Liquidity: Why and How? | Conference – 2008
14 Jul 2008
Conferences
Similarly, if market liquidity is low, then a broker-dealer will have more difficulty obtaining a collateralised loan, or that loan will have a high margin, because the lender is less ... Given the prevalence of borrowing to fund positions and use of
https://www.rba.gov.au/publications/confs/2008/kearns-lowe.html