Hi, -The sort of question on current financial crises that came up last time required indepth and detailed understanding of the current crises not just what one would gather from watching bloomberg or reading FT once a week. I was wondering if there is some source on the internet that some one has searched for and found that can provide quick access to the current issue, discussions, causes, implications, and measures taken. I have done some googling I couldnt find. -Shall we discuss and list down the topics that are not in the course notes but can show up in detail in the exam. -LDI details -how banks manage their exposures against written insurance and LDI derivatives -Some aspect of the current financial crises
current issues Hi, I dont think I agree that the level of detail required in Apr 09 was beyond what can be picked up from reading the FT on a weekly basis, and an occasional economist. It asked about buying illiquid non-performing debt from te banks, which was discussed at length in the FT during the banking crisis. Other methods such as providing preference capital for banks and helping banks raise capital from the markets was also in discussion. the only tricky bit was the link between the bail-out measures and the currency. During the crisis, sterling plummeted and many commentators put this down to the high borrowing requirement. (Many students would have only linked exchange rates to the short term interest rates, so this part may have proved difficult). You are right though, that current issues are a routine part of every SA6 exam these days, and you need to keep your eyes and ears open. I have tried to list some of the topics that I thought might be relevant at the present time. These are in the "FAQ" thread, near the bottom under the questions: Will the banking crisis and the credit crunch be examined in the 2009 sitting? (Although this thread always says "updated Jan 2008!!!" I do actually update it regularly, but I cant seem to change the date that is displayed. Hope this helps.
Thanks for replying. I was wondering if you know any research note or paper on the recent happenings in the financial world. A public research paper from an investment bank or a brokerage house would be great. I have not been reading closely and am not aware of the individual deals, capital raised, nature of Madoff and Stanford fraud and the direction of fx rates during different phases of the cycle.
reference books I am afraid I dont know of any book that covers these things. It woul have to be very recently published. (Stanford was probably too recent to get into 2009 exams, but the same general lessons apply to Madoff, who was early enough to form the subject of a question). A decent internet search on each opf the topics will probably give you all you need, but the simplest way is to become a regular reader of the FT "the long view" for a period of a year or so prior to sitting the exam. Hard to go back in time though! Does anyone else know of any good publications?
