Sustainable Commodities – Can they play a role in the transition to a low-carbon economy? Many commodities have become key inputs to the global economy, but their production is often associated with processes that have serious environmental and ethical issues – deforestation, greenhouse gas (GHG) emissions, and forced/child labor, to name but a few. Are
The Ethereum “Merge” – What are the implications for the future of the crypto industry? While the failed crypto exchange FTX has heightened uncertainty over this asset class, another potentially seismic event for the industry took place recently when the Ethereum blockchain merged with another blockchain (Beacon Chain). “The Merge” saw Ethereum switch its
How to Identify and Manage Problem Loans With many economies bracing for downturn and a higher interest rate environment, a sharp spike in default rates is a likely prospect. What steps should banks and other lenders take to manage this? All lenders provide credit facilities in the belief that their customers will meet repayment
Understanding the Dynamics of Recession Around the world, many economies are either in recession or heading toward one as a result of the inflation crisis and the associated policy response from monetary authorities. But what exactly is a “recession,” what happens during it, how long does it last, and how does it end? The
IPO Activity Dwindles in 2022 For many companies, going public is a landmark moment that signals their current success and future ambition. An initial public offering (IPO), which is the most common way of getting a public listing, is an expensive and time-consuming process that also creates major ongoing costs and onerous compliance obligations
ESG Runs into Category Confusion One of the unforeseen consequences of the war in Ukraine has been a re-evaluation of industry categories hitherto understood to be contrary to economic, social, and governance (ESG) principles. This, in turn, has also exposed the limitations of ESG as a convenient catch-all term for ethical investing. Specifically, the
Sanctions Expose US Dollar Vulnerability but Dominance Set to Continue For the past century the US dollar has enjoyed unrivalled supremacy in global trade and finance. But the war in Ukraine and subsequent imposition of sanctions on Russia – the so-called “weaponization of finance” – has drawn attention to this dominance. It has
Cryptocurrency Risk Worries Multiply Investment is a perpetual search for superior returns relative to risk. At different points in time, various asset classes came into vogue. In the 1970s, gold was in favor. The 1990s saw emerging markets take on a new prominence. This century has seen the rise of alternatives. All of
New Inflationary Regime Takes Hold Around the world major economies are grappling with an extraordinary bout of inflation that has put to an end a disinflationary regime that lasted for 40 years. The euro area hit a record 8.1% rate in May. The UK’s consumer price index (CPI) rose by 9% in April
New Sanctions Regime Expands Frontiers of Financial Crime The wave of sanctions following the Russian invasion of Ukraine is a punctuation point in the fight against financial crime. Meanwhile, the massive expansion in sanctions has coincided with a burst of activity on the part of the Financial Action Task Force (FATF), the global
