Shadow banking creates liquidity outside the regulated banking system. Unlike traditional money, shadow money is constrained by the value of assets that serve as collateral. Therefore, shadow banking is vulnerable to market price declines. As shown in a new paper by Moreira and Savov, pro-cyclicality is compounded by collateral values falling more than asset prices […]
Macrosynergy is a London based macroeconomic research and technology company whose founders have developed and employed macro quantamental investment strategies in liquid, tradable asset classes, across many markets and for a variety of different factors to generate competitive, uncorrelated investment returns for institutional investors for two decades. Our quantitative-fundamental (quantamental) computing system tracks a broad range of real-time macroeconomic trends in developed and emerging countries, transforming them into macro systematic quantamental investment strategies. In June 2020 Macrosynergy and J.P. Morgan started a collaboration to scale the quantamental system and to popularize tradable economics across financial markets.
