banks

Learning objectives: Describe the links between banks and capital markets. Explain the effects of forced deleveraging and the failure of covered interest rate parity. Discuss the US dollar’s role as the measure of the appetite for leverage. Describe the implications of a stronger US dollar on...

Learning objectives: Identify the major risks faced by a bank. Distinguish between economic capital and regulatory capital. Questions: 700.1. Below is a hypothetical summary income statement for Deposits and Loans Corporation (DLC): Risks can affect any line in the income statement, but...