Wut Mean?: * MCIs generate revenue through proprietary trading and investments, including in self-issued crypto-assets. * They often operate from offshore financial centers, are privately owned, and lack transparency in corporate structure, financial accounts, and product/service descriptions. * In some cases, this opacity seems intentional, hindering understanding of their activities and risks.
📚 Due Diligence
The Nonbank Shadow of Banks Nicola Cetorelli and Saketh Prazad Source: https://libertystreeteconomics.newyorkfed.org/2023/11/the-nonbank-shadow-of-banks/ Highlights: * "In this post, we look at the joint evolution of banks—referred to as depository institutions from here on—and nonbanks inside the organizational structure of bank holding companies (BHCs)." * "Our
Hello, happy Friday and beginning to the weekend! Borrowing from the Bank Term Funding Program hit a NEW all time high this week ($109.068 billion)--the 21st consecutive week above $100 billion! What we are reviewing: 1. Bank Term Funding Program (BTFP) 2. Discount Window/Primary Credit 3. "Other
Hello and happy Thursday, I hope everyone is enjoying a great week on this Friday eve! I would like to share some more FINRA 'discipline' with y'all, this time it's BGC Financial, L.P.! As these releases convey a ton of information, I hope this format makes sense: * I am
TLDRS: * Borrowing from the liquidity fairy via BTFP continues to make up for a shrinking M2 and dwindling commercial deposits. * Bank Term Funding Program over $100B for the 14th week in a row ($107.855B) . * Notice how use of the Discount Window has PLUMMETED as BTFP has come in to
"Should these positions represent basis trades, sustained large exposures by hedge funds present a financial stability vulnerability" Source: https://www.federalreserve.gov/econres/notes/feds-notes/recent-developments-in-hedge-funds-treasury-futures-and-repo-positions-20230830.html During 2018 and 2019, when hedge fund cash-futures basis trades positions were large, sponsored repo borrowing likely constituted a small percentage of total
https://som.yale.edu/centers/international-center-for-finance/data/stock-market-confidence-indices/united-states Wut mean?: I wonder why folks may be feeling this way? Oh yeah... * Liquidity Fairy Alert! It just keeps going up... Bank Term Funding Program usage above $100B for the 12th consecutive week ($107.386B vs $107.242B 8/17). An