Liquidity upgrade: Difference between revisions

From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson
(Create the page. Sources: linked pages.)
 
imported>Doug Williamson
(Classify page.)
 
Line 9: Line 9:
*[[Liquidity]]
*[[Liquidity]]
*[[Liquidity insurance]]
*[[Liquidity insurance]]
[[Category:Accounting,_tax_and_regulation]]
[[Category:The_business_context]]

Latest revision as of 17:48, 1 July 2022

Liquidity upgrade, or collateral transformation, is a key part of central banks' liquidity insurance role in financial markets.

It allows participating banks to temporarily exchange less liquid forms of collateral, for collateral which is more liquid, and so improve the liquidity of the participating bank.


See also