Sentence examples for concentrations of risk from inspiring English sources
Even if regulators are preoccupied with sorting out the current mess, they shouldn't forget to address big concentrations of risk once the financial system looks more stable.
OTC derivatives can facilitate significant leverage, result in concentrations of risk, and behave unexpectedly in times of crisis.
Banks that have concentrations of risk in their portfolios can reduce them by selling assets to other investors.
On March 28th it announced plans for its continental derivatives-clearing activity to migrate there by early 2014, subject to regulatory approval (its continental cash equities will continue to be cleared by LCH.Clearnet).This will create new concentrations of risk.
The Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation, known affectionately as Fannie Mae and Freddie Mac, have become arguably the two most worrying concentrations of risk in the global financial system.
Thrifts were allowed to expand heavily into the origination of risky mortgages and held huge concentrations of risk on their balance sheets.Third, there was a near-complete disregard by both regulators and policy makers of risk assessment at the consumer level.
Similarly, securitisation which worked well for decades—allows banks to free up capital, enabling them to extend more credit, and helps diversification of portfolios as banks shed concentrations of risks and investors buy exposures that suit them.
And big bonuses encourage big risk taking, leading to a paradox in which bonus incentives can cause a concentration of risk, thereby increasing the likelihood of bank collapse.
The documents will open a window into the financial industry's investments, trading counterparties and concentration of risk.
"The excessive size of M2 shows financing of China's economic development has relied too much on the banking system, and the concentration of risk is too high," Mr. Zhou warned in his statement on Tuesday.
