Search: solvency
RBA Glossary definition for solvency
solvency – The capacity of an entity to meet its financial obligations as they fall due. Solvency may be expressed as maintaining positive net-tangible assets.
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Discussion on Liquidity, Financial Crises and the Lender of Last Resort – How Much of a Departure is the Sub-prime Crisis? | Conference –…
14 Jul 2008
Conferences
The trick is to ensure that the crisis is truly a liquidity crisis and not a solvency crisis. ... Philip's main point in this paper is that financial innovation has broadened the definition of liquidity and made liquidity crises even harder to
https://www.rba.gov.au/publications/confs/2008/davis-disc.html
Financial System Liquidity, Asset Prices and Monetary Policy | Conference – 2005
11 Jul 2005
Conferences
If the bursting of a property bubble impairs the solvency of the financial sector, then the dynamics ‘on the way down’ can turn into an extremely messy affair, involving a whole ... Regulators are familiar with the potentially destabilising effect of
https://www.rba.gov.au/publications/confs/2005/shin.html
Liquidity, Financial Crises and the Lender of Last Resort – How Much of a Departure is the Sub-prime Crisis? | Conference – 2008
14 Jul 2008
Conferences
Goodhart and Schoenmaker (1995) note that banks generally face illiquidity when solvency is in question. ... They had to mark to market ABS held on balance sheet, so price falls affected their solvency.
https://www.rba.gov.au/publications/confs/2008/davis.html
Europe, Australia and Asia: Some Observations
10 Sep 2006
Bulletin
– September 2006
discipline and assure long‑run solvency. ... 1990s. Once Japan might have been that country. But then Japan experienced a decade of stagnation, deflation and concerns over financial-sector solvency.
https://www.rba.gov.au/publications/bulletin/2006/sep/2.html
Bank Funding and Financial Stability | Conference – 2013
19 Aug 2013
Conferences
Equivalently, we can define a critical return or ‘solvency point’ for the bank:. ... The bank's balance sheet now becomes:. Solvency at the final date now requires that.
https://www.rba.gov.au/publications/confs/2013/gai-haldane-kapadia-nelson.html
Submission to the Financial System Inquiry
10 Sep 1996
Bulletin
– September 1996
In the case of non-banks, this means supervising part of an institution without first-hand knowledge of the solvency of the whole.
https://www.rba.gov.au/publications/bulletin/1996/sep/2.html
Discussion on Regulating the New Financial Markets | Conference – 1996
9 Jul 1996
Conferences
Policies aimed at institutional solvency of banks had served the dual purpose of protecting depositors and promoting systemic stability. ... underwrite the solvency or performance of their subsidiaries with the bank's capital.
https://www.rba.gov.au/publications/confs/1996/sherwin-disc.html
Default Risk Among Australian Listed Corporations
17 Sep 2015
Bulletin
– September 2015
Market-based information can help detect deteriorating corporate health because it incorporates more forward-looking information than other data sources such as financial statements. With this in mind, the Reserve Bank has developed an indicator of
https://www.rba.gov.au/publications/bulletin/2015/sep/6.html
Panel Discussion on Financial Stability: Ten Questions and about Seven Answers | Conference – 2010
9 Feb 2010
Conferences
One of the reasons why the Bagehot paradigm failed is that liquidity and solvency were always, in practice, inseparable. ... The reason why institutions become illiquid, other than from mechanical failure, is that people ultimately have doubts about
https://www.rba.gov.au/publications/confs/2010/caruana-disc.html
Regulating the New Financial Markets | Conference – 1996
9 Jul 1996
Conferences
In short, investment firms are much less vulnerable to contagious liquidity and solvency crises than are banks. ... regulate bank-related financial firms to the same standard of solvency risk as banks.
https://www.rba.gov.au/publications/confs/1996/dale.html