Are you a Goal Keeper? The latest newsletter from The middle Road. Kindly subscribe to The middle Road newsletter on LinkedIn here for regular updates. As per the Goalkeepers report, the current reality is heart-wrenching: every year, around 5 million children do not make it to their fifth birthday, succumbing to early mortality. Equally tragic, nearly 2 million infants
In this educational article discusses a comprehensive journey through the latest economic data of the United States, exploring the Federal Reserve’s monetary response, shedding light on Treasury Inflation-Protected Securities (TIPS), and delving into the enlightening book, “Megathreats” by Nouriel Roubini. Additionally, gain valuable insights into the implications and expenses associated with rolling over existing debt in the US. A small
This article discusses the recent turmoil in the US financial markets, the Fed’s response to inflation, the Production Function, and the Solow Model. This piece uses ChatGPT to explain the concept of Steady State. Additionally, it takes an interesting look at both the pros and cons of artificial intelligence, with a peek at behavioral finance guru Hyman Minsky. The recent
Options are covered under the online course on Impact Bonds. First published as part of Impact Bonds online course, this note shares a brief overview of the global options market. Options are derivative instruments. Derivatives are financial instruments whose value is based on an underlying asset. This asset could be a tradeable asset like listed shares of a company or
Recent collapse of banks in the US especially Silicon Valley Bank (SVB) speaks about the fundamental problem inherent in our economic system- herd mentality. As pundits’ point out the collapse of SVB through an asset liability mismanagement looking at the duration of portfolio assets in a rising interest rate scenario, the behavioral of depositors leading to the bank run must
Government of India will issue first Sovereign Green Bonds in two tranches amounting to $1.94 billion. The proceeds of the Sovereign will be used to fund green infrastructure projects to reduce carbon emissions within the economy. The green bonds will be of 5 year and 10-year maturity and traded in the secondary market. The sovereign green bonds are eligible for
Bootstrapping: Calculation of theoretical spot rate curve from a par yield curve This educational publication is the special valuation series on fixed income securities. Its mandatory to read the Understanding Term Structure of Interest Rates posted under Insights here before reading Bootstrapping: Calculation of theoretical spot rate curve from a par yield curve. There are multiple ways in which a theoretical
Global Impact Investing Network (GIIN) is one of the key champions of impact investment sector worldwide. GIIN worked along with Nuveen to understand how the impact industry has evolved over the years for the GIIN report. As of December 2021, the directly invested impact asset under management is estimated at $1.164 trillion spread over 3349 organizations. The impact investment sector
Chart: Global Bond Markets Outstanding in billion $ | Data Source: SIFMA 2022 Capital Markets Fact Book; Bank of International Settlements SIFMA regularly publishes 2022 Capital Markets Fact Book sharing a broad overview of global equity and debt capital markets. Capital markets play a pivotal role in driving capital markets, the role of capital markets increases with sophistication of the economy.
In the long run, the output of an economy depends upon the level of technology, capital, and labor. Ignoring other factors of production, the production function is best defined by the Cobb Douglas equation = A KαL1-α. Although the Cobb Douglas is based on the analysis for the United States, the analysis could be extended for other countries. Capital
