TY - BOOK ID - 84542893 TI - Velocity of Pledged Collateral : Analysis and Implications AU - Singh, Manmohan. AU - International Monetary Fund. PY - 2011 SN - 146393372X 1463986858 1283554291 9786613866745 1463994737 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Collateralized debt obligations KW - Bank loans KW - CDOs (Collateralized debt obligations) KW - Credit derivatives KW - Bank credit KW - Loans KW - Econometric models. KW - Accounting KW - Banks and Banking KW - Investments: General KW - Industries: Financial Services KW - Public Finance KW - Banks KW - Depository Institutions KW - Micro Finance Institutions KW - Mortgages KW - Financial Institutions and Services: Government Policy and Regulation KW - International Monetary Arrangements and Institutions KW - General Financial Markets: Government Policy and Regulation KW - International Financial Markets KW - General Financial Markets: General (includes Measurement and Data) KW - Pension Funds KW - Non-bank Financial Institutions KW - Financial Instruments KW - Institutional Investors KW - Public Administration KW - Public Sector Accounting and Audits KW - Social Security and Public Pensions KW - Finance KW - Investment & securities KW - Financial reporting, financial statements KW - Banking KW - Pensions KW - Collateral KW - Securities KW - Hedge funds KW - Financial statements KW - Financial institutions KW - Public financial management (PFM) KW - Pension spending KW - Expenditure KW - Financial instruments KW - Financial services industry KW - Finance, Public KW - Banks and banking KW - United States UR - https://www.unicat.be/uniCat?func=search&query=sysid:84542893 AB - Large banks and dealers use and reuse collateral pledged by nonbanks, which helps lubricate the global financial system. The supply of collateral arises from specific investment strategies in the asset management complex, with the primary providers being hedge funds, pension funds, insurers, official sector accounts, money markets and others. Post-Lehman, there has been a significant decline in the source collateral for the large dealers that specialize in intermediating pledgeable collateral. Since collateral can be reused, the overall effect (i.e., reduced ?source' of collateral times the velocity of collateral) may have been a $4-5 trillion reduction in collateral. This decline in financial lubrication likely has impact on the conduct of global monetary policy. And recent regulations aimed at financial stability, focusing on building equity and reducing leverage at large banks/dealers, may also reduce financial lubrication in the nonbank/bank nexus. ER -