Mark Carney: housebuilder, educator, social activist

The Bank of England has topped up its corporate bond buying programme to include housing association and university debt
Continue reading: Mark Carney: housebuilder, educator, social activist

The Bank of England has topped up its corporate bond buying programme to include housing association and university debt

Continue reading: Mark Carney: housebuilder, educator, social activist

Confusion and the BoE’s corporate bond buying scheme

This is on the back of the Bank of England’s release of some more info on its Corporate Bond Purchase Scheme (CBPS) on the 12th. From that:

We will look to purchase, via the CBPS, a portfolio of up to £10bn of sterling investment grade bonds representative of issuance by firms making a material contribution to the UK economy, in order to impart broad economic stimulus. Our operations will be designed to purchase a balanced portfolio of bonds across eligible issuers and sectors, so that we purchase a representative portion of the market and do not influence the allocation of credit to particular companies or sectors of the economy. The private market will continue to decide which companies can issue in the primary market. Corporate bonds issued by firms we regulate – such as banks, building societies, and insurance companies – will not be eligible.

This notice outlines in more detail how we decide what constitutes a material contribution to the UK economy, and how our operations have been designed to ensure our purchases are representative across the eligible set of bonds. Operational details are included in the Market Notice.

Continue reading: Confusion and the BoE’s corporate bond buying scheme

This is on the back of the Bank of England’s release of some more info on its Corporate Bond Purchase Scheme (CBPS) on the 12th. From that:

We will look to purchase, via the CBPS, a portfolio of up to £10bn of sterling investment grade bonds representative of issuance by firms making a material contribution to the UK economy, in order to impart broad economic stimulus. Our operations will be designed to purchase a balanced portfolio of bonds across eligible issuers and sectors, so that we purchase a representative portion of the market and do not influence the allocation of credit to particular companies or sectors of the economy. The private market will continue to decide which companies can issue in the primary market. Corporate bonds issued by firms we regulate – such as banks, building societies, and insurance companies – will not be eligible.

This notice outlines in more detail how we decide what constitutes a material contribution to the UK economy, and how our operations have been designed to ensure our purchases are representative across the eligible set of bonds. Operational details are included in the Market Notice.

Continue reading: Confusion and the BoE’s corporate bond buying scheme

Cbank digital currencies and the path to Gosbankification

Central banks issuing their own digital currencies (on blockchains, naturally) is an idea currying ever more favour in high-brow economic and banking circles.

Fedcoin. BoEcoin. ECBcoin. They’re all (allegedly) at it — or at the very least contemplating the idea as a work-around to the zero lower bound and other niggling monetary problems.

This month the BoE issued a paper on the topic entitled “The macroeconomics of central bank issued digital currencies. A related blog “Central bank digital currency: the end of monetary policy as we know it?” was published this week. But if you Google “central bank blockchain” you’ll find a gazillion references or more from all over the world talking about the subject.

Continue reading: Cbank digital currencies and the path to Gosbankification

Central banks issuing their own digital currencies (on blockchains, naturally) is an idea currying ever more favour in high-brow economic and banking circles.

Fedcoin. BoEcoin. ECBcoin. They’re all (allegedly) at it — or at the very least contemplating the idea as a work-around to the zero lower bound and other niggling monetary problems.

This month the BoE issued a paper on the topic entitled “The macroeconomics of central bank issued digital currencies. A related blog “Central bank digital currency: the end of monetary policy as we know it?” was published this week. But if you Google “central bank blockchain” you’ll find a gazillion references or more from all over the world talking about the subject.

Continue reading: Cbank digital currencies and the path to Gosbankification