Consequently, once the securities one party can turn to need are widely used to fund their broker’s company, it really is comparable to the fractional book banking and certainly will explain just why there are runs on shadow banking institutions.

Consequently, once the securities one party can turn to need are widely used to fund their broker’s company, it really is comparable to the fractional book banking and certainly will explain just why there are runs on shadow banking institutions.

18 Such tasks of shadow banking institutions were the foundation of uncertainty for dealer banking institutions in 2008, such as for example Bear Sterns, Merrill Lynch, and Lehman Brothers, adding to the outbreak of this crisis (Claessens et al., 2012, pp. 16–17). “Consequently, once the securities one party can turn to need are widely used to fund their broker’s company, it really is comparable to the fractional book banking and certainly will explain just why there are runs on shadow banking institutions.” の続きを読む