#asset bubble

According to financial terminology leverage used by financial institutions is considered to be the borrowing of funds at a certain ratio. This borrowing ratios can be used by institutional investors as a way of generating even more profit in the process of investing. History has flaunt that leverage can be advantageous and disadvantageous. Leverage has proven to increase the risk of investment…

Some major housing markets slump with drop in demand and/or increase in supply.

The Housing Bubble Blog » A Bout Of Realism Rather Than The Usual Optimism http://thehousingbubbleblog.com/?p=10314

Fear Spreads of a Housing Crash in Canada | Alternative Economics

The reading marks a change from almost unbridled consumer optimism in a housing market that has carried the Canadian economy since the 2008 global financial crisis, even as policy makers warn price gains in some cities are unsustainable. Source: Fear Spreads of a Housing Crash in Canada | Alternative Economics

Big Wall Street Firms Make Lame Excuse for Volcker Rule Non-Compliance, Ask for Additional Five Year Extension | naked capitalism

Anyone who knows bupkis about finance knows if you can’t sell a financial asset in three years (or more accurately, seven), particularly with public and private market valuations at record levels, the problem is not liquidity. It’s valuation. These banks are carrying these holdings on their books at inflated marks and don’t want to recognize losses…….. “It’s laughable that the biggest, most…

These days, hardly a week goes by without a new report about struggling retailers and rising vacancies in Manhattan. Average retail asking rents fell year over year in seven of the borough’s 12 main retail submarkets in the first quarter of 2016, according to Cushman & Wakefield. And several prime shopping districts now have availability rates well over 20 percent, while stretches on Bleecker…

Bear Stearns 2.0? UK’s Largest Property Fund Halts Redemptions, Fears “Vicious Circle” | Zero Hedge

Beginning of the end? In the summer of 2007, two inconsequential Bear Stearns property-related funds were gated and then liquidated, exposing the reality of the US housing bubble and catalyzing the collapse of the financial system. While equity markets have rebounded exuberantly post-Brexit, suggesting all is well, British property-related assets have tumbled and, as The FT reports, Standard Life…