Kay Review and Liquid: Difference between pages

From ACT Wiki
(Difference between pages)
Jump to navigationJump to search
imported>Doug Williamson
(Updated to note final Kay Report of July 2012 and Govt response of November 2012.)
 
imported>Doug Williamson
(Add links.)
 
Line 1: Line 1:
A government sponsored review into UK equity markets established in 2011 and led by Professor John Kay.
1. ''Assets.''


The review was established to ask how well equity markets are achieving the following core purposes:
In relation to an asset, able to be turned into cash quickly and without significant loss compared with current market value.


1. Enhancing the performance of UK companies by facilitating investment and enabling effective governance and decision making in support of long-term profitability and growth; and


2. Enabling investors to benefit from this corporate activity in the form of returns from equity investment.  
2. ''Markets.''


The review was designed assess to what extent equity market participants are excessively focused on short-term outcomes to the detriment of the core purposes (1. and 2. noted above) and if so, what actions should be taken to address this problem.  
In relation to a market, a situation in which large quantities of the asset traded in the market can be bought or sold at any time, with low transaction costs, and without affecting the market price.


It therefore examines the incentives, motivations and timescales of the following participants in the equity markets – end investors, pension funds, advisers, fund managers, the market and company boards – and also the relationships between them.


The Kay Report was published in July 2012.
== See also ==
It was welcomed by the UK Government in a response published in November 2012.
* [[Cash and cash equivalents]]
* [[Cash forecasting]]
* [[Current assets]]
* [[Deep market]]
* [[Illiquid]]
* [[Liquid market]]
* [[Liquidate]]
* [[Liquidation]]
* [[Liquidity]]
* [[Liquidity buffer]]
* [[Liquidity Coverage Ratio]]
* [[Liquidity preference]]
* [[Liquidity management]]
* [[Liquidity premium]]
* [[Liquidity risk]]
* [[Non-current assets]]
* [[Solvency]]
* [[Stress]]
* [[Survival period]]
 
 
=== Other resources ===
*[[Media:2015_06_June_-_Safety_first.pdf| Safety first, The Treasurer, 2015]]


== See also ==
[[Category:The_business_context]]
* [[Corporate governance]]
[[Category:Identify_and_assess_risks]]
* [[Equity]]
[[Category:Manage_risks]]
[[Category:Risk_frameworks]]
[[Category:Cash_management]]
[[Category:Financial_products_and_markets]]
[[Category:Liquidity_management]]

Revision as of 15:31, 27 March 2021

1. Assets.

In relation to an asset, able to be turned into cash quickly and without significant loss compared with current market value.


2. Markets.

In relation to a market, a situation in which large quantities of the asset traded in the market can be bought or sold at any time, with low transaction costs, and without affecting the market price.


See also


Other resources

Retrieved from ‘https://wiki.treasurers.org/w/index.php?title=Kay_Review&oldid=30320’