Risk assessment of major shadow banking entities
|Autor:||Bc. Marcel Hrošovský|
|Rok:||2017 - letní|
|Vedoucí:|| prof. Ing. Oldřich Dědek CSc.
|Typ práce:|| Bakalářská
|Abstrakt:||Shadow banking is a part of the financial system, that operates similarly to the banking
system, however, is typically less regulated. As a result of incorrect risk assessment and
insufficient regulation, shadow banking played a significant part in the recent global financial
crisis of 2007. My thesis consists of two major sections, in the first section I describe the
shadow banking system, I assess its positive and negative features, and I describe the methods
for mapping the shadow banking entities. In the second section, I conduct a risk assessment of
major shadow banking entities. Based on the evidence I conclude, that even investments that
appear risk free under standard market conditions are exposed to incorrect risk assessment,
especially when investing into assets with complicated structure, furthermore, in time of
systemic contagion, even healthy companies are exposed to runs and lack of credit available
on the market to help fund their operations.