Pater Familias

Theories, observations, and articles, by Philip Schaefer · All posts · Categories

A RATING AGENCY FOR LIQUIDITY.

November 16, 2008 at 9:34 PM · Uncategorized

A RATING AGENCY FOR LIQUIDITY. Financial institutions have relied on rating agencies to evaluate the credit-worthiness of financial instruments. Now that it has been dramatically shown that credit-worthiness is different from being liquid, perhaps there should be a rating agency for liquidity. Of course, I think everybody’s going to be a lot more cautious about liquidity–for a few years.