Weekend Must ReadsPosted by on April 20, 2013
WSJ-MarketWatch: How Thatcher would have fixed the financial crisis
She ignored conventional wisdom, acted on her beliefs
UK Telegraph: The IMF is flunking the financial crisis
By turning its fire on Britain, the IMF gives the impression it is out of ideas and solutions
Financial Times: Wake up to the #Twitter effect on markets
Investors need to spend more time thinking about the way social media can affect financial markets
Reuters: New regulations require cleaner data
Continuing efforts by financial regulators and by firms themselves to monitor and offset risk have affected almost all areas of firms’ operations, including the management and maintenance of data. The overhaul of global systems following the financial crisis has led to an audit of data, and specifically of the information which firms hold about themselves and their counterparties or clients, known as business entity reference data.
It is time to close both Fannie Mae and Freddie Mac—the government-sponsored mortgage giants. Both entities distort the country’s housing finance market by issuing mortgage-backed securities with subsidized government guarantees that the mortgages will be repaid. If guarantees are necessary, they should be priced and issued by the private sector, not by the state. Financial institutions expert David C. John details specific steps to achieve this shutdown carefully and methodically without further upsetting the delicate housing market—and without making the situation worse.
Heritage: Promoting Economic Freedom Key to Realizing World Bank’s Mission