New Strategies to Safeguard Against Financial Crisis Unveiled in Study
The article discusses how companies can manage liquidity risk by understanding the sources of liquidity, such as funding and asset risks. It also explores the problems that can arise from poor liquidity management, like financial distress. The researchers suggest ways to measure and control liquidity risk, as well as how to handle liquidity crises effectively. The article concludes with a look at new regulatory initiatives aimed at improving liquidity risk management in the future.