We investigate the uncertainty around stock returns at different investment horizons. Since a return is either a loss or a gain, we categorize return uncertainty into two components—loss uncertainty and gain uncertainty. We then use these components to evaluate investment.
Tributes have been paid to Jon Snow, known to TV viewers for his loud ties and calm anchoring of Channel 4 News for more than three decades, as the 74-year-old journalist signed off on his last programme. Snow will continue to work with Channel 4 on long-form projects and spend more time focusing on his charitable work.In his emotional closing remarks on Thursday night, he paid tribute…
The powerful effects of artificial intelligence are already being felt in business, politics, medicine, war, and almost every other domain of twenty-first century life. For all of its positive potential, the technology presents significant risks that are best addressed sooner rather than later.
Deputy Governor Paul Beaudry speaks about the strength and resilience of the financial system throughout the COVID-19 pandemic and economic recovery. He also outlines key vulnerabilities and risks going forward.
We explore the idea that the financial sector can be a source of non-fundamental risk to the rest of the economy. We also consider whether policy can be used to reduce this risk—either by increasing the supply of publicly backed safe assets or by reducing the demand for safe assets.