05659oam 22013694 450 991078833870332120230721045635.01-4623-1340-X1-4527-1879-297866128426411-4518-7190-21-282-84264-1(CKB)3170000000055229(EBL)1608228(SSID)ssj0001474774(PQKBManifestationID)11873511(PQKBTitleCode)TC0001474774(PQKBWorkID)11471460(PQKB)11300630(OCoLC)469135319(MiAaPQ)EBC1608228(IMF)WPIEE2009042(EXLCZ)99317000000005522920020129d2009 uf 0engur|n|---|||||txtccrDeleveraging After Lehman : Evidence From Reduced Rehypothecation /James Aitken, Manmohan SinghWashington, D.C. :International Monetary Fund,2009.1 online resource (13 p.)IMF Working PapersDescription based upon print version of record.1-4519-1625-6 Includes bibliographical references.Contents; I. Introduction; II. Rehypothecation in the United States and the United Kingdom; III. Rehypothecation After Lehman's Bankruptcy; Tables; 1. Collateral Received that can be Pledged is Decreasing; 2. Securities Lending by Major Custodians; IV. Conclusion; Appendix; 1. Securities Exchange Act's Rule 15c3-3; ReferencesRehypothecation is the practice that allows collateral posted by, say, a hedge fund to their prime broker to be used again as collateral by that prime broker for its own funding. In the United Kingdom, such use of a customer’s assets by a prime broker can be for an unlimited amount of the customer’s assets. And moreover, there are no customer protection rules (such as in the United States under the Securities Act of 1933). The paper shows evidence that, following Lehman’s bankruptcy, the extent of rehypothecation has declined substantially, in part because investment firms fear losing collateral if their prime broker becomes insolvent. While less rehypothecation reduces counterparty risk in the system, it also reduces market liquidity.IMF Working Papers; Working Paper ;No. 2009/042Suretyship and guarantyEconomic stabilizationFinance: GeneralimfInvestments: GeneralimfIndustries: Financial ServicesimfBanksimfDepository InstitutionsimfMicro Finance InstitutionsimfMortgagesimfFinancial Institutions and Services: Government Policy and RegulationimfInternational Monetary Arrangements and InstitutionsimfCorporation and Securities LawimfGeneral Financial Markets: Government Policy and RegulationimfInternational Financial MarketsimfGeneral Financial Markets: General (includes Measurement and Data)imfPension FundsimfNon-bank Financial InstitutionsimfFinancial InstrumentsimfInstitutional InvestorsimfInvestment BankingimfVenture CapitalimfBrokerageimfRatings and Ratings AgenciesimfFinanceimfInvestment & securitiesimfCollateralimfSecuritiesimfHedge fundsimfBrokers and dealersimfFinancial institutionsimfFinancial marketsimfLoansimfFinancial instrumentsimfFinancial services industryimfStockbrokersimfUnited StatesimfSuretyship and guaranty.Economic stabilization.Finance: GeneralInvestments: GeneralIndustries: Financial ServicesBanksDepository InstitutionsMicro Finance InstitutionsMortgagesFinancial Institutions and Services: Government Policy and RegulationInternational Monetary Arrangements and InstitutionsCorporation and Securities LawGeneral Financial Markets: Government Policy and RegulationInternational Financial MarketsGeneral Financial Markets: General (includes Measurement and Data)Pension FundsNon-bank Financial InstitutionsFinancial InstrumentsInstitutional InvestorsInvestment BankingVenture CapitalBrokerageRatings and Ratings AgenciesFinanceInvestment & securitiesCollateralSecuritiesHedge fundsBrokers and dealersFinancial institutionsFinancial marketsLoansFinancial instrumentsFinancial services industryStockbrokersAitken James191524Singh Manmohan1464153DcWaIMFBOOK9910788338703321Deleveraging After Lehman3685592UNINA