Asset Insulators*

Abstract

We propose that financial institutions can act as asset insulators, holding assets for the long run to protect their valuations from consequences of exposure to financial markets. We illustrate the empirical relevance of this theory for the balance sheet behavior of a large class of intermediaries, life insurance companies. The pass-through from assets to… (More)

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Cite this paper

@inproceedings{ChodorowReich2016AssetI, title={Asset Insulators*}, author={Gabriel Chodorow-Reich and Andra Ghent and Valentin Haddad}, year={2016} }