The Limits of Market-Based Risk Transfer and Implications for Managing Systemic Risks

Author/Editor:

Nicolas R Blancher ; François Haas ; John Kiff ; Oksana Khadarina ; Paul S. Mills ; Parmeshwar Ramlogan ; William Lee ; Yoon Sook Kim ; Todd Groome ; Shinobu Nakagawa

Publication Date:

October 1, 2006

Electronic Access:

Free Full Text. Use the free Adobe Acrobat Reader to view this PDF file

Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

The paper discusses the limits to market-based risk transfer in the financial system and the implications for the management of systemic long-term financial risks. Financial instruments or markets to transfer and better manage these risks across institutions and sectors are, as yet, either nascent or nonexistent. As such, the paper investigates why these markets remain "incomplete." It also explores a range of options by which policymakers may encourage the development of these markets as part of governments' role as a risk manager.

Series:

Working Paper No. 06/217

Subject:

English

Publication Date:

October 1, 2006

ISBN/ISSN:

9781451864779/1018-5941

Stock No:

WPIEA2006217

Price:

$18.00 (Academic Rate:$18.00)

Format:

Paper

Pages:

49

Please address any questions about this title to publications@imf.org