Disappearing Liquidity: Let's Don't Wait Til the Water Runs Dry
August 15, 2006 by
Published in Peter L. Bernstein’s Economics & Portfolio Strategy, August 15, 2006
Two years before the financial crisis, Ted warns of excessive liquidity in the markets and suggests a prescription to protect capital against an eventual change in regime. Those following the recipe may have substantially protected capital when the financial crisis took hold.