Johan A. Lybeck has worked as Managing Director of Finanskonsult AB (Stockholm) and Risk Analysis SA (Brussels) for the last twenty-five years. As an academic, he has been, inter alia, a Chaired Professor of Economics, an Associate Professor of Econometrics and an Adjunct Professor of Finance. His banking career includes positions as Senior Vice President of Swedbank (Stockholm) in charge of financial strategy and Chief Economist at Matteus Bank. He holds a PhD in Economics (University of Michigan, 1971) and a 'fil. lic.' in Political Science (University of Gothenburg, 1986). He is also a captain and Chief Interrogator in the Swedish Air Force.
List of figures
List of tables
Acknowledgements
Why you - yes, you! - should read this book
1. Introduction
2. Financial crises in the United States and Europe but not in Asia
Appendix 2.1. A chronological presentation of events January 2007-December 2010
3. Could today's financial crisis have been foreseen? Some theory and some facts
4. The American housing market and the subprime crisis
5. Securitization and derivatives spread the crisis around the world
Appendix 5.1. Inherent conflicts of interest in subprime securitization
Appendix 5.2. Write-downs in individual banks, investment banks and insurance companies, 2007-9
6. Liquidity risk aspects of the crisis and a comparison with 1907 and 1929
Appendix 6.1. The liquidity-risk framework proposed by the FSA and the BIS
7. Credit risk aspects of the crisis, rating and solvency
Appendix 7.1. Government support activities for banks' capital ratios 2007-9
Appendix 7.2. The proposed new capital requirements under 'Basel III'
8. Financial crises in modern history: similarities and differences
9. Worldwide changes in regulation and supervision as a result of the crisis
Appendix 9.1. List of regulatory authorities in the United States
Outstanding issues
References
Index.
List of figures; List of tables; Acknowledgements; Why you - yes, you! - should read this book; 1. Introduction; 2. Financial crises in the United States and Europe but not in Asia; Appendix 2.1. A chronological presentation of events January 2007-December 2010; 3. Could today's financial crisis have been foreseen? Some theory and some facts; 4. The American housing market and the subprime crisis; 5. Securitization and derivatives spread the crisis around the world; Appendix 5.1. Inherent conflicts of interest in subprime securitization; Appendix 5.2. Write-downs in individual banks, investment banks and insurance companies, 2007-9; 6. Liquidity risk aspects of the crisis and a comparison with 1907 and 1929; Appendix 6.1. The liquidity-risk framework proposed by the FSA and the BIS; 7. Credit risk aspects of the crisis, rating and solvency; Appendix 7.1. Government support activities for banks' capital ratios 2007-9; Appendix 7.2. The proposed new capital requirements under 'Basel III'; 8. Financial crises in modern history: similarities and differences; 9. Worldwide changes in regulation and supervision as a result of the crisis; Appendix 9.1. List of regulatory authorities in the United States; Outstanding issues; References; Index.
