Hi I am Arjun Parthasarathy speaking and this podcast is on “Why I worry about a flat UST Yield Curve?” Third Knowledge Workshop on Liquidity 29th July, Mumbai
The US treasury (UST) yield curve has flattened sharply over the last one year with short end yields rising and long end yields falling. The last time the UST curve was flat was in 2007, just before the financial market collapse. Is the flattening of the curve ominous?
I’ll be discussing the flattening of the UST curve in detail in our “Third Knowledge Workshop on Liquidity on Friday the 29th of July 2016 at Sofitel BKC Mumbai”. The Knowledge Workshop on Liquidity is an annual feature in the training calendar of INRBONDS.com, the preferred e training platform on financial markets for the top Asset Management Companies in India.
Liquidity is one of the most frequently used words in financial markets, if not the most frequently used word. The phrase “Liquidity Driven Markets” explains all market movements, whether markets rise or fall. When markets rise, easy liquidity is the reason for the rise and when markets fall, withdrawal of liquidity is the reason for the fall. What is this Liquidity? Where does Liquidity come from? Where does Liquidity go? How to view Liquidity on a forward looking basis?
The Knowledge Workshop on Liquidity aims to address all questions related to both Global and Domestic Liquidity. The Third Knowledge Workshop on Liquidity addresses questions on negative rates and yields and what are the potential repercussions. On the domestic front, the liquidity impact of FCNR B deposit maturities in 2016, the LCR (Liquidity Coverage Ratio) and the changed Liquidity stance of RBI will be discussed in detail.
The Liquidity Workshops also throw light on the monetary base of central banks and how liquidity is created or taken out of the system. Theoretical factors of liquidity from a Macro Economists perspective are discussed.
ALM (Asset Liability Management), which is a key risk factor in the banking system, is dwelt on extensively. Liquidity drives ALM of banks and when global banks failed to understand the risks of liquidity, the whole system collapsed in 2008 and all major banks had to be saved by central banks and governments, with tax payer’s money.
It is extremely important to understand Liquidity and given the changing world of financial markets, Liquidity takes on many forms. The Knowledge Workshop on Liquidity is for all financial market participants who are keen to take the right investment decisions based on Liquidity.
The Third Knowledge Workshop on Liquidity is full up on seats but for all INRBONDS members we will be sending out presentations and videos of the workshop. Join INRBONDS.com NOW for all your Knowledge Requirements on Financial Markets. Please call Neelima at +919819770641 or log in to INRBONDS.com or download INRBONDS App for Android or IOS to register. Thank you for listening in.