Fostering Financial Stability with Reverse Convertible Bonds

Courtesy of Pierre Chaigneau Most financial crises are characterized by a widespread loss of confidence in financial institutions. Charles Kindleberger famously made this point in 1978 in his book “Manias, Panics, and Crashes: A History of Financial Crises.” The mechanisms described in this book remain highly relevant to understand the financial crisis of 2007-2008. In the […]