Prof. Jayanth R. Varma's Financial Markets Blog (comments) http://www.iima.ac.in/~jrvarma/blog/index.cgi A Blog on Financial Markets and Their Regulation en Copyright Prof. Jayanth R. Varma blosxom simplerss20 modified http://blogs.law.harvard.edu/tech/rss <![CDATA[Re: New Zealand shows the way again?]]> Comment relating to New Zealand shows the way again? (posted Mon, 17 Dec 2018 13:32:00 +0530)
Kevin Stone wrote on Wed, 19 Dec 2018 14:49

When we are psychologically safe at work, we’re willing to accept that we can be ignorant about many things and very smart about others. Psychologically safe employees are more interested in learning and excellence and in genuinely connecting with others than in looking good or spreading scandals. That sounds like what everyone wants, but as human beings we’re hardwired and socialized to care about what others think of us. This is not bad or good, it’s just true. And it is sometimes unhelpful in knowledge-intensive organisations like ours. We may need to override some of our very human instincts – the instinct to look good instead of being truthful, to avoid hurting someone’s feelings instead of being truthful, or to agree with the boss instead of saying, ‘I’m not sure that’s going to work’.

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Wed, 19 Dec 2018 14:49:00 +0530 https://faculty.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/New-Zealand-bank-capital.discuss http://www.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/New-Zealand-bank-capital.discuss#0
<![CDATA[Re: Mutual fund redemptions redux]]> Comment relating to Mutual fund redemptions redux (posted Tue, 02 Oct 2018 14:22:00 +0530)
Harsh Chaudhary wrote on Tue, 02 Oct 2018 21:45

Great to see that officials of your calibre hold such opinions regarding the dynamics of present-day economics. It would be great if you could highlight a few steps towards providing the liquidity to the unitholders in practice?

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Tue, 02 Oct 2018 21:45:00 +0530 https://faculty.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/mutual-fund-redemptions-redux.discuss http://www.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/mutual-fund-redemptions-redux.discuss#0
<![CDATA[Re: Re: Mutual fund redemptions redux]]> Comment relating to Mutual fund redemptions redux (posted Tue, 02 Oct 2018 14:22:00 +0530)
Prof. Jayanth R Varma wrote on Fri, 05 Oct 2018 11:16

Banks lend against all kinds of collateral (even against shares) and it is not at all difficult for them to lend against debt mutual fund units. All that is needed is a signal from the regulators (particularly RBI) encouraging this or at least making clear that it is not discouraged.

PS: I am not an "official", only an academic stating my personal views.

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Fri, 05 Oct 2018 11:16:00 +0530 https://faculty.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/mutual-fund-redemptions-redux.discuss http://www.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/mutual-fund-redemptions-redux.discuss#0-0
<![CDATA[Re: Mutual fund redemptions redux]]> Comment relating to Mutual fund redemptions redux (posted Tue, 02 Oct 2018 14:22:00 +0530)
Gaurav Raizada wrote on Wed, 03 Oct 2018 12:00

Makes little sense for MF to have liquidity lines. They are independent vehicles and are in no way a systemic risk. I wonder if these people even understand the concept of MTM.

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Wed, 03 Oct 2018 12:00:00 +0530 https://faculty.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/mutual-fund-redemptions-redux.discuss http://www.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/mutual-fund-redemptions-redux.discuss#1
<![CDATA[Re: Long hiatus ending soon]]> Comment relating to Long hiatus ending soon (posted Mon, 20 Aug 2018 15:40:00 +0530)
abhishek wrote on Sat, 25 Aug 2018 22:16

great to hear that news sir. !! hope to read your views soon

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Sat, 25 Aug 2018 22:16:00 +0530 https://faculty.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/hiatus.discuss http://www.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/hiatus.discuss#0
<![CDATA[Re: Long hiatus ending soon]]> Comment relating to Long hiatus ending soon (posted Mon, 20 Aug 2018 15:40:00 +0530)
Sahil wrote on Tue, 04 Sep 2018 16:07

Sir, Glad to see a new post on the blog today!

Your article on proprietary software is very relevant and an interesting read. Due to dominance of platforms like the Windows OS, MS Office applications, Adobe PDF most of the files used in corporate world or academia are now ppt/pptx/doc/docx/xls/pdf etc. A large repository of information can become unusable if any of these proprietary application softwares lose tech support. It brings to mind a similar situation in which due to ubiquity and ease of Whatsapp, many informal groups within private and public sector use whatsapp to communicate information. Not only does this lead to legal risk but also to potential information security risks.

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Tue, 04 Sep 2018 16:07:00 +0530 https://faculty.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/hiatus.discuss http://www.iima.ac.in/~jrvarma/blog/index.cgi/Y2018-19/hiatus.discuss#1
<![CDATA[DevOps Tutorial]]> Comment relating to Corporate pivots and corporate ponzis (posted Wed, 21 Mar 2018 18:41:00 +0530)
Sonam Jain wrote on Wed, 20 Jun 2018 16:09

I appreciate your work on Blockchain. It's such a wonderful read on Blockchain course. Keep sharing stuffs like this. I am also educating people on similar Blockchain training so if you are interested to know more you can watch this Blockchain tutorial:-https://www.youtube.com/watch?v=KvK5-_JKQjw

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Wed, 20 Jun 2018 16:09:00 +0530 https://faculty.iima.ac.in/~jrvarma/blog/index.cgi/Y2017-18/pivots-and-ponzis.discuss http://www.iima.ac.in/~jrvarma/blog/index.cgi/Y2017-18/pivots-and-ponzis.discuss#0
<![CDATA[Re: Do we need banks?]]> Comment relating to Do we need banks? (posted Sun, 18 Mar 2018 16:06:00 +0530)
Non Contextual Stats wrote on Mon, 19 Mar 2018 14:56

Using the findings from a study done on US Banks to pronounce that Banks in India are not relevant?

Can you try calculating the RoA for the Indian Banking system and see if that holds true? Otherwise, it seems like a sweeping generalisation done with just a phrase saying " this is more relevant in India". That is a HUGE leap of faith!

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Mon, 19 Mar 2018 14:56:00 +0530 https://faculty.iima.ac.in/~jrvarma/blog/index.cgi/Y2017-18/do-we-need-banks.discuss http://www.iima.ac.in/~jrvarma/blog/index.cgi/Y2017-18/do-we-need-banks.discuss#0
<![CDATA[Is financial system necessary?]]> Comment relating to Do we need banks? (posted Sun, 18 Mar 2018 16:06:00 +0530)
Durga wrote on Tue, 24 Apr 2018 12:46

I was going through one of the articles in ET and found your name in association with IIM-A.

Then Through your profile on the site. Needless to say, your profile was impressive.

However, there were certain things that did not seem to go well with the insistence of nature on human beings.

You seem to be part of many organisations (kind of board member and so on). How can you handle so many things or manage to be in so many positions at the same time. Human Being is not a Multi tasker by nature, so it is baffling to see u occupy so many positions. I have one question pertaining to this part. Are you doing justice to all the positions that you have occupied? I might be attracting your wrath at this point but it is necessary that the professors of our country are truthful to themselves atleast.

I saw the term 'research' in your profile. What does research mean according to you? Were you a science guy at any point in your life? I can take someone say they are researching on quantum electrodynamics or say microbiology- as both of them lead us to the bahaviour of the nature.

On the contrary, you call derivative, financial research. That sounds absurd as these financial instruments are more or less man made and they work on the way the consumers behave. Sometimes, they rig the behaviour of the consumer for better benefits.

So, finance, accounting are not some natural laws. They are there because there is money. Once the importance of money is gone may be some cryptocurrency usurps the traditional currency or the day food and comfort can't be bought by currency, financial system loses its importance, so do you people.

Regards, Sravan

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Tue, 24 Apr 2018 12:46:00 +0530 https://faculty.iima.ac.in/~jrvarma/blog/index.cgi/Y2017-18/do-we-need-banks.discuss http://www.iima.ac.in/~jrvarma/blog/index.cgi/Y2017-18/do-we-need-banks.discuss#0-0
<![CDATA[Re: Should Equifax be shut down?]]> Comment relating to Should Equifax be shut down? (posted Wed, 13 Sep 2017 21:32:00 +0530)
Maries wrote on Thu, 14 Sep 2017 13:57

They consider fine as fees. Dan Ariely in his Predictably irrational tells the difference between fine and fees.

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Thu, 14 Sep 2017 13:57:00 +0530 https://faculty.iima.ac.in/~jrvarma/blog/index.cgi/Y2017-18/equifax.discuss http://www.iima.ac.in/~jrvarma/blog/index.cgi/Y2017-18/equifax.discuss#0
<![CDATA[Re: Re: Should Equifax be shut down?]]> Comment relating to Should Equifax be shut down? (posted Wed, 13 Sep 2017 21:32:00 +0530)
Krishna iyer wrote on Tue, 03 Oct 2017 06:37

Wow, that's a radical way to see things. Strikes right at the heart of the Joint Stock Company. I wonder what 'shut down' would imply. Is it a sale to someone else? In that case it would be BAU under new management Is it change of management? Ditto Is it forced winding down of the company? Now that would shake the ground under capitalism. Imagine of there is a probability however small of a company being wound down and sold for its parts, the knock to the cumulative stock market valuation would be terrible.. Plus, the investors would have done nothing to deserve it. The management needs to pay a price and investors a fine to insist on better manager behavior I future.

Thus in fitness of things I imagine shutting down would be too drastic a step...

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Tue, 03 Oct 2017 06:37:00 +0530 https://faculty.iima.ac.in/~jrvarma/blog/index.cgi/Y2017-18/equifax.discuss http://www.iima.ac.in/~jrvarma/blog/index.cgi/Y2017-18/equifax.discuss#0-0