All activity
myk mykleft a comment
Basel III NSFR and leverage-ratio rules have structurally raised the cost of bank balance-sheet intermediation. This has (a) shifted cash pools from unsecured bank deposits to government-only money-market funds and (b) widened the “basis” between secured (repo) and unsecured (LIBOR/SOFR) rates. The net effect is a permanent compression of net yields for cash investors.
WinusYour Financial AI Partner — Intelligence • Precision • Trust