Author Archives: Rogelio Mercado

Unchartered Vulnerabilities: Corporate Leveraged Loans and Collateralised Loan Obligations

In the aftermath of the global financial crisis of 2008-09, accommodative monetary policy, mainly through unconventional means, provided liquidity support which eased financial conditions in the crisis-hit economies of the U.S. and Europe.  But the low interest rate environment has encouraged greater risk-taking among corporates and non-bank financial institutions resulting in a build-up of corporate […]