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Banking

Spatial Transformation

A type of transformation that involves availing solvency at different places (institutionial presences) using loans, cash transactions, etc. It also…

Risk Transformation

A type of risk redistribution that aims to mitigate risk, not only by risk management departments (functional level) but also...

Risk Transformation

A type of risk redistribution (financial transformation) in which financial intermediaries hold assets with higher risk of default than their...

Liquidity Transformation

A type of risk redistribution (financial transformation) which involves the funding of illiquid assets (long-term loans) with liquid liabilities (short-term...

Credit Transformation

A type of risk redistribution (financial transformation) whereby credit quality is enhanced by means of the securitization. This involves the...

Size Transformation

A type of risk redistribution (financial transformation) whereby small amounts from saver-lenders (surplus units) are aggregated into large amounts in...

Redistribution of Risk

A process whereby a financial institution capitalizes on mismatches between the two sides of its balance sheet (assets and liabilities)....

Lot-Size Transformation

A type of transformation that involves matching assets/ investments that have different sizes, pooling small deposits or shares in order...

Positive Maturity Transformation

A maturity transformation which results in assets being ‘on average’ longer in maturity than liabilities. This occurs when banks and...

Term Transformation

A type of transformation that is performed by banks and other depository institutions whereby short-term deposits are accepted at low...