BIS Banking Systems (A & B)

BIS Banking systems had the “Midas touch,” literally. During the 1980s, the company journeyed to the number one position in the world of the specialized financial (banking) software industry. MIDAS, its flagship software package, became the installed system for more than 400 banks around the world. But in April 1990, the company somewhat lost that touch, because despite its diffusion and success, BIS missed the … [ Read more ]

Better Than the Alternatives

Compared with the previous peak of global capital, the amount of money flowing to poorer countries today is already small. Maurice Obstfeld and Alan Taylor, two economists, point out that less-developed countries’ share of total global debt is at an all-time low. In 1900, these countries accounted for 33% of the total; in the 1990s, the figure was down to 11%. In 1913, the countries … [ Read more ]

Bubble Trouble – And What Policymakers Should Do About It

Article takes a look at “efficient markets” and “behavioural finance” theories and examines their relevance to financial market bubbles.

George Soros

if you don’t know who he is, you should…

The Regulator Who Isn’t There

Does a global financial system need a global regulator?

Crisis? What Crisis?

The financial system has coped remarkably well with a horrendous couple of years.

Scrambled Egg: The Making and Breaking of an Online Bank

For the pioneering U.K. startup, clicks without bricks and building share without care led to a first-mover disadvantage.

Operational Risk Poses Challenges to Financial Institutions and Regulators

In the aftermath of September 11’s terrorist atrocities, it will surprise few people to learn that operational risk has been a hot topic of debate among financial institutions and regulators. Unlike risks of borrowers defaulting on debt or markets collapsing, operational risk management deals with internal system failures (such as a rogue trader) or external events (such as terrorist attacks). A conference organized by Wharton’s … [ Read more ]

Commercial Paper Chase

If banks have to come clean about their off-balance-sheet leverage, get ready to pay more for money.