International Finance and Responsible Financial Management

In school, I learned about the stock market valuation  of a company   in this week's lecture , that  the  stock market valuation is not based on its present value, it's based on the number of ordinary shares in issues multiply the current market price. In the society, the COVID-19 is still spreading and continues to be associated with many businesses. Among them, the real industry and the financial sector have been hit hard. Take the Yum brands as an example. In the offline, because of the British government's policy, all restaurants should closed and only the takeaways are allowed. This can affect most of a restaurant's turnover. In the online, the  financing of some companies has also been delayed by the COVID-19. Yum Brands, which owns fast food chains such as KFC, Taco Bell and Pizza Hut, has become the first to invest in bonds since the issuance of bonds was stagnated by  the COVID-19  in early March Garbage-grade companies that raise new...

  The last day of Lehman Brothers  vividly tells us how Lehman Brothers  failed in the form of film.   On September 12, 2008, Lehman Brothers  summoned a number of bank CEOs  to try to let  them to buy L ehman, but with a value of $30 billion, the real value was probably only half that, so the financial giants turned down the request . At last, t he result was b ought by B arclays, a British bank, but its toxic assets should  been stripped away, and a Wall Street consortium to finance the distressed entities. Just when L ehman felt it had been saved, the UK government's financial regulator refused to approve the deal. Lehman Brothers , which lost its last chance, declared bankruptcy . The collapse of Lehman Brothers  triggered the global financial crisis in 2008. 1.  Holding too many bad assets   Lehman kept too many mortgage bonds on its balance sheet. These bonds are hard to sell. These assets are rated well because the...

As the coronavirus  is infecting more people around the world, governments in some of the most affected countries have imposed lockdown on their people . Other countries  also  ha d policies to discourage people from traveling. There is no doubt that these policies directly hit the transport industry, airline  companies suffered heavy losses   due to the outbreak of coronavirus. I think that if governments do this, it will temporarily affect the development of the economy, but if there is nothing to do, just let the virus spread, it will hit the economy harder in the future. So, it's wise for now and I think more limitation is needed in the future. As the virus spreads and the government tightens traffic regulations, airlines will face huge losses this year. Take British Airways as an example, the chief executive of British Airways has warned staff that the carrier will have to cut jobs because of the coronavirus pandemic despite a robust balance sheet and ...

Since Coronavirus was discovered in Wuhan, China, and confirmed human-to-human transmission  at the end of December, it has first spread on a large scale in China, infecting over 80,000 people.  But now , it has spread to well over 80 countries, infecting more than 102,000 people and killing more than 3,400  people. Since China is now the most virus-hit country in the world, its economy has been hit hard since January, when large-scale human-to-human transmission of the virus began. To reduce human contact, the Chinese government has decided to limit  entertainment venues, such as cinemas  and tourism. Unfortunately, t he Chinese economy has caused a recession, and then as Coronavirus  spread, it also affected the global economy. Yesterday, March 7, 2020, the global bond rally accelerated as people bought some government bonds to protect themselves from economic gloom caused by the recent spread of Coronavirus . But some economists believe that ...