Scrutinizing Financial Stability
Want to take the pulse on global financial markets? Well, I think I might be able to provide just what the doctor prescribes then with the two following publications. First off, we have Banque de France's Financial Stability Review which collects a myriad of research notes from both business and academic sources. Even for thick skinned and experienced practioners there should be plenty of material to get you ticking. In particular, hedge funds which is of course a synonyme (or antonyme?) for financial stability are under the loop. In terms of notable attention and a good place to start if you are unfamiliar (yep, that also includes yours truly) with the mad world hedge funds is this paper by Roger Ferguson and David Laster from Swiss Re. The note formally deals with hedge funds and systemic risks but also includes a well written account of the industry and actual workings of these financial beasts.
In general, it seems as if there are plenty more interesting readings in the slew of sources included in the Banque de France's publication.
Secondly, we have the IMF's Global Financial Stability Report 2007 and as could be expected the publication is a sheer goldmine of information, data and analysis regarding an ever growing and complex topic. Here is the mission statement as quoted from the first lines of the executive summary.
Favorable global economic prospects, particularlystrong momentum in the euro area and in emerging markets led by China and India, continue to serve as a strong foundation for global financial stability. However, some market developments warrant attention, as underlying financial risks and conditions have shifted since the September 2006 Global Financial Stability Report (GFSR).
Happy Reading!