Disponible en Español

IV Conference on Financial Stability

November 23 - 25, 2021

 

Organizing Institutions

Banco de México, CEMLA, Bank of Canada, University of Zurich and the Journal of Financial Stability.

Content

 

November 23

Opening remarks

Chair: Fabrizio López Gallo Dey (Banco de México)
Manuel Ramos Francia, Director General, CEMLA
Alejandro Díaz de León Carrillo, Governor, Banco de México

Keynote 1
Chair: Stefano Battiston (University of Zurich)
Markus K. Brunnermeier, Director of the Bendheim Center for Finance, Princeton University

 

Parallel Session 1a. Financial Networks (Room 1)

Chair: Stefano Battiston (University of Zurich)

Temporal networks in the analysis of financial contagion
Angelos Vouldis – European Central Bank
Discussant: Adrian Carro – Banco de España.

COVID-19, Macroeconomic Dynamics and Fear in Europe: A Network Global VAR Approach
Paolo Pagnottoni – University of Pavia.
Discussant: Angelos Vouldis – European Central Bank

Uncertainty, non-linear contagion and the credit quality channel: an application to the Spanish interbank market
Adrian Carro – Banco de España.
Discussant: Paolo Pagnottoni – University of Pavia

 

Parallel Session 1b. Banking and Regulation (Room 2)

Chair: Calixto López Castañón (Banco de México)

Bank Risk-Taking and Capital Requirements
José-Luis Peydró – Imperial College London, ICREA - Universitat Pompeu Fabra - CREI-Barcelona GSE and CEPR.
Discussant: Sotirios Kokas – University of Essex.

Real effects of imperfect bank-firm matching
Sotirios Kokas – University of Essex.
Discussant: Nicola Pierri – IMF.

 

November 24

Keynote 2

Chair: Grzegorz Hałaj (Bank of Canada)
Jing Yang, Managing Director Financial Stability, Bank of Canada

 

Parallel Session 2a. COVID-19 (Room 1)

Chair: Fabrizio López Gallo Dey (Banco de México)

The role of banks’ technology adoption in credit markets during the pandemic
Edoardo Rainone – Bank of Italy.
Discussant: Andrei Zlate – Board of Governors of the Federal Reserve System.

LTCM Redux? Hedge Fund Treasury Trading and Funding Fragility during the COVID-19 Crisis
Sumudu W. Watugala – Cornell University.
Discussant: Georgia Bush –Banco de México.

Motivating Banks to Lend? Credit Spillover Effects of the Main Street Lending Program
Andrei Zlate – Board of Governors of the Federal Reserve System.
Discussant: Christian Friedrich – Bank of Canada.

 

Parallel Session 2b. Overlooked challenges to financial stability (Room 2)

Chair: Miguel Molico (Bank of Canada)

Assessing the double materiality of climate-related financial risks: an application to the EU economy and banking sector
Irene Monasterolo – Professor of Climate Finance, EDHEC business school, EDHEC-Risk Institute.
Discussant: Serafín Martínez-Jaramillo – CEMLA and Banco de México

Over with carbon? Investors' reaction to the Paris Agreement and the US withdrawal
Stefano Battiston – University of Zurich.
Discussant: Carola Müller – CEMLA

Pirates without Borders: The Propagation of Cyberattacks through Firms’ Supply Chains
Marco Macchiavelli – Federal Reserve Board.
Discussant: Co-Pierre George – University of Cape Town

 

November 25

Parallel Session 3a. Spillover effects in the financial system (Room 1)

Chair: Grzegorz Hałaj (Bank of Canada)

Modelling fire sale contagion across banks and non-banks
Gerardo Ferrara – Bank of England.
Discussant: Matthias Sydow – European Central Bank (ECB)

Shock amplification in an interconnected financial system of banks and investment funds
Matthias Sydow – European Central Bank (ECB).
Discussant: Gerardo Ferrara – Bank of England.

Stress-ridden finance and growth losses: does financial development break the link?
Matias Ossandon Busch – CEMLA.
Discussant: Thibaut Duprey – Bank of Canada

 

Parallel Session 3b. Macroprudential policy and systemic risk (Room 2)

Chair: Celso Brunetti (Federal Reserve Board)

Back testing Macroprudential Stress Tests
Amanah Ramadiah – FNA
Discussant: Eddie Gerba – Bank of England

Thank me later: Why is (macro)prudence desirable?
Eddie Gerba – Bank of England
Discussant: Michael Sigmund – Oesterreichische Nationalbank.

Do Interbank Markets Price Systemic Risk?
Michael Sigmund – Oesterreichische Nationalbank.
Discussant: Amanah Ramadiah – FNA

 

Parallel Session 4a. Banks Bail-ins and Resolution (Room 1)

Chair: Angel Estrada (Banco de España)

Fighting Failure: The Persistent Real Effects of Resolving Distressed Banks
Stephen A. Karolyi – U.S. Department of the Treasury.
Discussant: Gábor Fukker – European Central Bank

Assessing the Systemic Risk impact of Bank Bail-Ins
Christoph Siebenbrunner– Harvard University
Discussant: Stephen A. Karolyi – U.S. Department of the Treasury

On the optimal control of interbank contagion in the euro area banking system
Gábor Fukker – European Central Bank
Discussant: Christoph Siebenbrunner – Harvard University

 

Parallel Session 4b. Monetary policy and financial stability (Room 2)

Chair: Jim MacGee (Bank of Canada)

Monetary Policy Hysteresis and the Financial Cycle
Phurichai Rungcharoenkitkul – Bank for International Settlements.
Discussant: Baptiste Meunier – Banque de France

A prudential trade-off? Leakages and interactions with monetary policy
Baptiste Meunier – Banque de France.
Discussant: Yannick Timmer – Federal Reserve Board.

Mixing QE and Interest Rate Policies at the Effective Lower Bound: Micro Evidence from the Euro Area
Yannick Timmer – Federal Reserve
Discussant: Phurichai Rungcharoenkitkul – Bank for International Settlements.

Main conclusions and closing remarks
Chair: Matías Ossandon Busch (CEMLA)
Stefano Battiston, University of Zurich.
Iftekhar Hasan, Fordham University and Journal of Financial Stability.

 

Aimed at

Senior officials and senior researchers of CEMLA member central banks and collaborating institutions, with experience on financial stability or related areas.

Coordinators

CEMLA
Dr. Matías Ossandon Busch
Banco de México
Calixto López Castañón