房贷风暴+愈吹愈烈.pptVIP

Why FIs Need to Manage Risk Major objective of FI management is to increase the FI’s returns for its owners Risks of financial intermediation have increased as the U.S. and overseas economies have become more integrated (i.e., weak economic conditions in Asia and South America) FIs that have no foreign customers can still be exposed to foreign exchange and sovereign risk if their customers have dealings with foreign countries Risks Faced by Financial Intermediaries Credit Risk Liquidity Risk Interest Rate Risk Market Risk Off-Balance-Sheet Risk Foreign Exchange Risk Country or Sovereign Risk T