Jean-Philippe Dion is a Director in the Financial Markets Department at the Bank of Canada. He leads a team of economists that explore risks and efficiency questions in Canada's core financial markets. This work includes a focus on asset managers' unique role in Canada's fixed income and repo markets. Insights are shared with other regulators through domestic financially system committees, international working groups and publicly through the Bank of Canada's Financial Stability Report and other in-depth publications.
We examine how the eight largest Canadian public pension funds managed liquidity during the market turmoil in March 2020. The funds were generally resilient to large demands for liquidity and relied heavily on Canada's core funding markets.
We consider ways central banks could adapt in the event of an increased risk of a dash for cash from asset managers. We explore ideas such as new facilities that ease asset managers’ ability to convert existing assets to cash or new assets with liquidity that central banks would guarantee.
This paper provides a framework to compare linked and unlinked CCP configurations in terms of total netting achieved by market participants and the total system default exposures that exist between participants and CCPs.
We consider ways central banks could adapt in the event of an increased risk of a dash for cash from asset managers. We explore ideas such as new facilities that ease asset managers’ ability to convert existing assets to cash or new assets with liquidity that central banks would guarantee.
