New material from CFA Institute
Money in COVID Times
The research paper, “Money in COVID Times,” is an analysis of how the role of central banks in the market and the economy has changed since 2008. The COVID-19 situation has only exacerbated the transformation of central banks into entities that act as lender and market maker of last resort, every time markets experience a level of stress that could reverberate across money markets, including credit and financial assets used as collateral. These questions are important for investment professionals and CFA® charterholders because of the impact monetary policy is now having on the market economy, the availability or scarcity of financial assets, and the natural price formation mechanism.
A significant portion of this research concentrated on the unprecedented nature and scale of the monetary stimulus enacted by central banks as a response to the market shock wave caused by the economic lockdown measures. Our research shows that market professionals, in general, and CFA Institute members, in particular, are divided on the new prominent role that central banks have assumed in the economy since the 2008 global financial crisis.
These topics are of key importance for CFA charterholders to understand:
The worldview of money as a form of hierarchical credit
The importance of market-based finance in ensuring credit flow
The key markets in market-based finance
The theory and practice behind central bank interventions in these markets
The way in which COVID-19 was an illustration of this worldview in action
The paper is authored by Anas Taoufik, Ben Chekroun, Olivier Fines, CFA, Sviatoslav Rosov PhD, CFA, Simon Johnson PhD, and Ronald A. Kurtz.
Demystifying Green Bonds: A Conversation with the Climate Bonds Initiative
CFA Institute has organized a series of webinars to examine the cause and effects of climate change. Watch this discussion with Sandeep Bhattacharya, India Project Manager of the Climate Bonds Initiative, Labanya Prakash Jena, CFA, Manager of the Climate Policy Initiative, and Matt Orsagh, CFA, Senior director, capital markets policy, at CFA Institute, as they discuss the growing market of green bonds and climate bonds. This webinar focuses on a case study that is related to the CFA Institute report "Climate Change Analysis in the Investment Process".
SBBI® 2021 Summary Edition
The Stocks, Bonds, Bills, and Inflation® (SBBI®): 2021 Summary Edition enables investors to understand how to calculate, interpret, and use the US historical stock and bond data that the CFA Institute Research Foundation has made available to CFA Institute members.
The data include the capital appreciation, income, and total returns of the major asset classes of the US economy: large-cap stocks, small-cap stocks, corporate bonds, government bonds of various maturities, and inflation. Most of the data start in 1926, and are presented in monthly, annual, decade, or longer period form. The raw data itself are mostly monthly but are not included in this summary volume. Rather, this summary volume includes illustrative data, methodology, formulae, and analysis that will help investors and analysts learn how to use market time series raw data, which is separately available.
Podcasts Hosted by Josina Kamerling: A Guide To EU Financial Politics and Policy Development
We recommend these excellent podcasts on important EU policy developments with CFA Institute’s Josina Kamerling, Senior Head of Advocacy in EMEA. This series provides a guide to the economic and policy developments within the European Union (EU) and is a must-listen for any student, policy maker, legislator, economist, or corporate strategist seeking a greater understanding of the opportunities, risks, and emerging policy initiatives that will affect the 330 million consumers living there and the companies doing or seeking to do business there.
New episodes are released every month, you can listen to them at https://eufin.libsyn.com/.