3 posts on "funding"
March 27, 2024
Deposits and the March 2023 Banking Crisis—A Retrospective
In this post, we evaluate how deposits have evolved over the latter portion of the current monetary policy tightening cycle. We find that while deposit betas have continued to rise, they did not accelerate following the bank runs in March 2023. In addition, while overall deposit funding has remained stable, we find that the banks most affected by the March 2023 events are offering higher deposit rates and are growing their deposit funding relative to the broader banking industry.
October 4, 2017
The Cost and Duration of Excess Funding Capacity in Tri‑Party Repo
In a previous post, we showed that dealers sometimes enter into tri-party repo contracts to acquire excess funding capacity, and that this strategy is most prevalent for the agency mortgage-backed securities (MBS) and equity asset classes. In this post, we examine the maturity of the repos used to pursue this strategy and estimate the associated costs.
October 2, 2017
Excess Funding Capacity in Tri‑Party Repo
Security dealers sometimes enter into tri-party repo contracts to fund one class of securities with the expectation they will wind up settling the contract with higher quality securities.
RSS Feed
Follow Liberty Street Economics
