CFO notes in an article based on an interview with Ilya Strebulaev, an associate finance professor at the Stanford Graduate School of Business, that the next inevitable collapse of the financial system would be different from the events following the collapse of Lehman Brothers, it would have some similarities.
According to CFO, Strebulaev says because the system hasn’t been strengthened enough by rule-makers in the wake of the Great Recession, it won’t be able to withstand a cataclysm.
CFO said Strebulaev notes three basic sources of weakness which includes misguided bank corporate governance that has aligned the incentives of managers “such that they prefer to risk or to gamble.”
To read the full CFO.com article, click here.
No tags available
Bank lessors are the major players in the leasing industry both in the U.S. and in IFRS countries. They are both lessors and lessees. The news from the lease project is very good for U.S. bank lessors but not great... read more
A well-drafted equipment lease or equipment financing agreement differs substantially from documentation often used by traditional lenders in transactions secured by personal property. Some of the key differences are a result of the equipment lessors’/lenders’ focus on the leased or... read more