Related items
Showing items related by title, author, creator and subject.
-
A Summary and Update of Developing Annuities Markets : The Experience of ChileThe rapid growth of the market for
 retirement products in Chile has its origins in the pension
 reform that was implemented in 1981. But the successful
 development of an active annuity market also reflects many
 other factors. This paper summarizes and updates an earlier
 longer study on the development of the Chilean annuity
 market. The update focuses on the numerous changes that were
 introduced in 2008. The most striking aspect of the Chilean
 experience is the very high rate of annuitization. This has
 been linked to the restrictions that have been applied to
 lump-sum withdrawals, the offer of inflation-protected
 annuities, and the robust prudential regulation of
 providers. But the level of annuitization has also been
 supported by the annuitization incentives provided to early
 retirees and the influence of brokers and sales agents. The
 recent regulatory changes have weakened the impact of the
 last two factors, while strengthening the demand for
 annuities at normal retirement.
-
The Sub Prime Crisis : Implications for Emerging MarketsThis paper discusses some of the key
 characteristics of the U.S. subprime mortgage boom and bust,
 contrasts them with characteristics of emerging mortgage
 markets, and makes recommendations for emerging market
 policy makers. The crisis has raised questions in the minds
 of many as to the wisdom of extending mortgage lending to
 low and moderate income households. It is important to note,
 however, that prior to the growth of subprime lending in the
 1990s, U.S. mortgage markets already reached low and
 moderate-income households without taking large risks or
 suffering large losses. In contrast, in most emerging
 markets, mortgage finance is a luxury good, restricted to
 upper income households. As policy makers in emerging market
 seek to move lenders down market, they should adopt policies
 that include a variety of financing methods and should allow
 for rental or purchase as a function of the financial
 capacity of the household. Securitization remains a useful
 tool when developed in the context of well-aligned
 incentives and oversight. It is possible to extend mortgage
 lending down market without repeating the mistakes of the
 subprime boom and bust.
-
Malaysia : Bond Market DevelopmentThis paper pertains to the bond market
 development in Malaysia, and provides an overview of the
 market scenario in the country. Malaysia has been successful
 in developing the capital markets, particularly bond
 markets, in the recent past. Now, it faces the challenge of
 how to improve broader access and efficiency of the bond
 market. A high degree of investor concentration, dominated
 by government pension funds, plays a significant role in
 impeding the growth of higher-yield bond market. The role of
 the government in stimulating the growth of the bond markets
 should be now shifted toward encouraging more diversity. In
 order to promote risk diversity, significant measures should
 be taken to increase competition on the demand side. Another
 important challenge for the bond markets going forward is
 improving transparency to make them more attractive to a
 broader constituency. To improve liquidity and transparency,
 the authorities should encourage the establishment of open,
 independent electronic platforms that integrate price
 search, negotiation, and trading of bonds. It is felt that
 while Malaysia has seen success in the bond markets, there
 is scope for further improvement.