Fragile US Banks Struggling for Funding? with Michael Howell

Interview recorded - 25th of April, 2023

On todays episode of the WTFinance podcast I had the pleasure of speaking with Michael Howell, Founder & Managing Director of CrossBorder Capital.

During our conversation we spoke about the fragile state of US banks, why banks are collapsing under higher interest rates, the connection to global liquidity and what this means for asset outperformance in the future. I hope you enjoy!

0:40 - Introduction
1:02 - Why have banks collapsed with higher interest rates?
4:35 - Was the SVB collapse a refinancing issue?
10:45 - Is recent FED policy kicking the issue down the road?
13:45 - What does high debt do to liquidity?
16:20 - What is the current global liquidity landscape?
27:45 - Refinancing issue further in the future?
29:45 - Airbubbles in liquidity market 2018 repeat?
32:05 - Higher liquidity = higher inflation?
34:40 - High risk assets to outperform?
36:55 - One message to take away from our conversation?

Michael Howell is CEO of CrossBorder Capital, a London-based FCA registered, independent research and investment company that he founded in 1996. Previously he was Head of Research for Baring Securities and Research Director of Salomon Brothers Inc, the US investment bank. The liquidity methodology he pioneered monitors cross-border flows and Central Bank behaviour across some 80 countries world-wide. Liquidity flows are a central part of CrossBorder Capital's asset allocation advice, which is currently provided to major global investors, including institutional asset managers, government agencies, Central Banks and endowment funds. Michael has been in financial markets since 1981 and is a regular conference speaker and media commentator. He graduated from Bristol and London Universities with a finance doctorate, specialising in Fixed Income.

Michael Howell -

Website - https://crossbordercapital.com/
Twitter - https://twitter.com/crossbordercap
LinkedIn - https://www.linkedin.com/in/michael-howell-357b1416/?originalSubdomain=uk

WTFinance -

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iTunes - https://podcasts.apple.com/us/podcast/wtfinance/id1554934665?uo=4
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