Determinants of Currency Composition of Reserves a Portfolio Theory Approach with an Application to RMB is popular PDF and ePub book, written by MissYinqiu Lu in 2019-03-08, it is a fantastic choice for those who relish reading online the Business & Economics genre. Let's immerse ourselves in this engaging Business & Economics book by exploring the summary and details provided below. Remember, Determinants of Currency Composition of Reserves a Portfolio Theory Approach with an Application to RMB can be Read Online from any device for your convenience.
Determinants of Currency Composition of Reserves a Portfolio Theory Approach with an Application to RMB Book PDF Summary
The way central banks manage their foreign reserve assets has evolved over the past decades. One major trend is managing reserves in two or more tranches—liquidity tranche and investment tranche—especially for those with adequate reserves. Incorporating reserve tranching, we have developed in this paper a central bank’s reserve portfolio choice model to analyze the determinants of the currency composition of reserves. In particular, we adopt the classical mean-variance framework for the investment tranche and the asset-liability framework for the liquidity tranche. Building on these frameworks, the roles of currency compositions in imports invoicing and short-term external debt, and risk and returns of reserve currencies can be quantified by our structural model—a key contribution of our paper given the absence of structural models in the literature. Finally, we estimate the potential paths of the share of RMB in reserves under different scenarios to shed light on its status as an international currency.
Detail Book of Determinants of Currency Composition of Reserves a Portfolio Theory Approach with an Application to RMB PDF
- Author : MissYinqiu Lu
- Release : 08 March 2019
- Publisher : International Monetary Fund
- ISBN : 9781498302562
- Genre : Business & Economics
- Total Page : 44 pages
- Language : English
- PDF File Size : 10,8 Mb
If you're still pondering over how to secure a PDF or EPUB version of the book Determinants of Currency Composition of Reserves a Portfolio Theory Approach with an Application to RMB by MissYinqiu Lu, don't worry! All you have to do is click the 'Get Book' buttons below to kick off your Download or Read Online journey. Just a friendly reminder: we don't upload or host the files ourselves.