One of the less dramatic elements of the recent chaos in financial markets was the movement of interest rates. In a bid to head off the credit crisis, central banks across the world reduced their lending rates to record lows, reaching 0-0.25% in the US and 1% in the eurozone. In Japan, where the central bank rate has been kept low for many years, the level was maintained at a floor-scraping 0.1%.
As sentiment improved during last year’s slow recovery, structured product providers began to seek h
The week on Risk.net, July 7-13, 2018Receive this by email