BloggingStocks http://www.bloggingstocks.com BloggingStocks http://www.blogsmithmedia.com/http://www.bloggingstocks.com/media/feedlogo.gif BloggingStocks http://www.bloggingstocks.com en-us Copyright 2012 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[Bermuda Readies Itself for New Insurance Regulation in Europe]]>http://www.bloggingstocks.com/2010/03/22/bermuda-readies-itself-for-insurance-reg-in-europe/http://www.bloggingstocks.com/2010/03/22/bermuda-readies-itself-for-insurance-reg-in-europe/http://www.bloggingstocks.com/2010/03/22/bermuda-readies-itself-for-insurance-reg-in-europe/#commentsFiled under: ,

Bermuda is angling to pick up props from European regulators. There's plenty at stake - namely, the huge insurance and reinsurance presence on the island. If the Bermuda Monetary Authority can demonstrate its oversight chops, the industry won't need to seek greener pastures when Solvency II, a new insurance regulatory measure, takes effect. Changes to capital and supervision rules in Europe, particularly with Solvency II in the works, could affect companies like Axis (AXS), Catlin (CLNGF), Flagstone Re (FSR), RenaissanRe (RNR) and XL Insurance (XL).

So, what's on the table? Well, gross written premium hit $104 billion in Bermuda last year. If you use Lloyd's of London as a reference point, Bermuda is four times larger. Though the U.S. leads in throwing business to insurers in Bermuda, Europe isn't far behind in second. This is why Bermuda is thinking about Solvency II. Even though the directive only applies directly to European carriers, secondary effects will be evident around the world.

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Bermuda Readies Itself for New Insurance Regulation in Europe originally appeared on BloggingStocks on Mon, 22 Mar 2010 16:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>axisBermudainsuranceinsurance companiesinsurance industryinthenewsregulateregulationregulationsregulatorRegulatorsregulatoryReinsurancereinsurance industryreinsurersolvencySolvency IIMon, 22 Mar 2010 16:00:00 EST<![CDATA[Who's afraid of coordinated central banks?]]>http://www.bloggingstocks.com/2007/12/14/whos-afraid-of-coordinated-central-banks/http://www.bloggingstocks.com/2007/12/14/whos-afraid-of-coordinated-central-banks/http://www.bloggingstocks.com/2007/12/14/whos-afraid-of-coordinated-central-banks/#commentsFiled under: , , , ,

Once again, the ever-incisive Financial Times columnist Martin Wolf, an economist, identifies with laser-accuracy what ills the current market. The problem, Wolf argues, is not a lack of solvency but a lack of liquidity (i.e. 'panic').

Wolf does not deny that there have been bad loans (there have been) or that no companies will go out of business (some will). But the circumstance that froze credit markets, that caused quality corporate bonds to fail to price, and that leads to 100-point spreads between the LIBOR rate (what banks charge each other) and the ECB's benchmark interest rate, is rooted more in a lack of confidence, than a lack of sound economic fundamentals or a lack of resources.

A lack of liquidity

And a lack of liquidity or 'panic' is something that central bankers can address. With the above in mind, the U.S. Federal Reserve's plan, in consultation with the European Central Bank, the Bank of England, the Swiss National Bank, and the Bank of Canada, to inject $40 billion via auctions into the financial system is appropriate and prudent. (Further, in addition to reciprocal currency arrangements, the companion central banks will take related actions, including the Bank of England's decision to accept a wider range of collateral on 3-month loans).

Continue reading Who's afraid of coordinated central banks?

Who's afraid of coordinated central banks? originally appeared on BloggingStocks on Fri, 14 Dec 2007 18:08:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>Bank of CanadaBank of Englandbanking regulationbanking sectorBen BernankeBernankebond marketcredit crunchcredit marketsCreditCrunchECBEuropean Central BankFederal Reservehousinginterest ratesLIBORliquidityMartin Wolfmonetary policymoral hazardmortgage backed securitiesmortgage defaultsmortgage lendersSIVssolvencysubprime defaultssubprime mortgageSwiss National BankU.S. CongressU.S. Federal ReserveWolfFri, 14 Dec 2007 18:08:00 EST