Financial Institutions Archives - Page 2 of 3

21Mar

By Bob AscahNo Comments

Banks, Credit Ratings, Financial Institutions

A Run on the Banking System?

Over the weekend, I turned my attention to rapidly evolving financial fissures, fissures which may portend another Global Financial Crisis (GFC). The earthquake's tremors began over a week ago when Silicon Valley Bank (SVB) tried to raise 2 billion dollars US in new equity. Quickly, investors asked why this was necessary and large depositors ran for the exits. SVB's broad tentacles through California's tech sector brought more pressure as tech companies and wealthy individuals sought the exits. It was the second largest bank failure in U.S. history. On Monday 13 March it was announced that the Vice-Chair of the Federal Reserve Board of Governors would lead a a review of the supervision and regulation of Silicon Valley Bank, SVB's problems stemmed from a bad decision last year to invest...

5Feb

By Bob AscahNo Comments

ATB, Financial Institutions, Opinion/Research, Politics

Open Reply to Free Alberta Strategy letter of 2 February to donors on article in The Conversation

On 30 January The Conversation ran an article of mine entitled What the Free Alberta Strategy gets wrong about Canada’s banking system that was reprinted in Abpolecon.ca. On Thursday at 8:01 a.m. I received the following email from the Free Alberta Strategy (FAS). Robert, The Free Alberta Strategy is back in the news again! This time though, it’s thanks to an attack piece, which we thought we'd take some time to respond to. In a new article published in the federal-government-funded “The Conversation” publication, Robert L. Ascah, a researcher at the also-federal-government-funded Parkland Institute, attempts to lay the hatchet to the Free Alberta Strategy. In his piece, entitled “What the Free Alberta Strategy gets wrong about Canada’s banking system,” Mr. Ascah argues that the Alberta ...

30Jan

By Bob AscahNo Comments

ATB, Banks, Financial Institutions, Fiscal History, Opinion/Research, Politics, Uncategorized

What the Free Alberta Strategy gets wrong about Canada’s banking system

Reproduced with permission from The Conversation. January 30, 2023 2.05pm EST Author Robert L. Ascah Robert L. Ascah is a Friend of The Conversation. Research Fellow, The Parkland Institute, University of Alberta Disclosure statement Robert (Bob) L. Ascah is affiliated with Alberta NDP. Partners University of Alberta provides funding as a founding partner of The Conversation CA. University of Alberta provides funding as a member of The Conversation CA-FR. View all partners We believe in the free flow of information Republish our articles for free, online or in print, under Creative Commons licence. Email Twitter Facebook LinkedIn Print What is the Free Alberta Strategy, the co-creation of two lawyers and a Calgary political scientist? And ...

11Dec

By Bob AscahNo Comments

Agencies, ATB, Banks, Financial Institutions

Hyndman papers- Pocklington introduced to the Alberta government via ATB- 1983

The following extract, from Lou Hyndman's files when he was Provincial Treasurer, is an undated, unsigned briefing note about Alberta Treasury Branches (now ATB Financial) concerning a refinancing and resecuring of debt. From the note it appears that Pocklington's primary bank dealings were not with ATB but with another undisclosed financial institution. According to the note, dealings between ATB and Pocklington were "satisfactory." Pocklington at that time had interests in Edmonton Motors, the Oilers and Fidelity Trust whose ownership had been effectively taken from Pocklington. At the bottom of the briefing note was the very clear statement that ATB nor the Government of Alberta was interested in acquiring any interest in the Oilers' hockey club. The $11-million debenture soon grew...

Sequoia Resources- Abuse of Process brought to a halt in “common sense” Court of Appeal decision

31May

By Bob AscahNo Comments

Energy, Environment, Financial Institutions

Sequoia Resources- Abuse of Process brought to a halt in “common sense” Court of Appeal decision

Background The continuing saga of the bankruptcy of Sequoia Resources is finally back at the trial stage. On March the twenty-fifth the Alberta Court of Appeal (ACA) directed the Trustee in bankruptcy’s challenge of Perpetual Energy’s sale of its “Goodyear” assets must precede to trial. The unanimous decision by ACA justices Patricia Rowbotham, Ritu Khullar and Jolaine Antonio took particular exception to the manner in which Perpetual Energy Inc. and associated entities -Perpetual Operating Trust (POT), Perpetual Operating Corp.(PEOC), and Susan Riddell Rose had relitigated their defense with two applications to the Masters of Chamber judge opposing the claim by PricewaterhouseCoopers’ LIT (PWC) acting as the Trustee over the estate of bankrupt Sequoia Resources. The long saga commences...

22Jan

By Bob AscahNo Comments

ATB, Banks, Energy, Environment, Financial Institutions

Central bank, OSFI take reins on climate change- Alberta’s oil and gas economy will be changed by federal regulators

Updated 7 February 2022 On Friday 14 January the Bank of Canada and Canada's Office of the Superintendent of Financial Institutions (OSFI) released a report on a pilot study respecting the potential impact of climate change on Canada's major financial institutions. Canada's central bank and OSFI are jointly responsible for the stability of Canada's financial system. As international organizations mobilize resources to understand the linkages between national and global climate change policy shifts, there is a growing unease among regulators on how prepared banks and insurers are in understanding and managing credit risk and market risk of clients who are especially exposed to climate change policies. Bank of Canada, Ottawa Source: Bank of Canada See my article in The Conversation...

1Nov

By Bob AscahNo Comments

Energy, Financial Institutions, Opinion/Research

Captive insurance- Why the Interest Now?

The Pitch On Wednesday, 27 October Finance Minister Travis introduced Bill 76 the Captive Insurance Companies Act. The accompanying press release noted the Bill would be "an alternative to the traditional insurance market to help relieve cost and availability pressures on Alberta businesses." A captive insurance company could be owned by "industrial, commercial or financial entity that can offer services when traditional insurers are unable to provide necessary coverage." The release went on to note that "challenges with global insurance supply" are making it difficult for commercial entities to find adequate insurance at reasonable prices." The creation of a captive insurer would allow a company to insure its own risks or members of an association or industry group. These entities would h...

27Jun

By Bob AscahNo Comments

ATB, Banks, Financial Institutions, Government Finances, Opinion/Research

Hyndman Papers- ATB and the chartered banks

In the following correspondence between the Provincial Treasurer and TD-Bank's vice-president of the Alberta South Division, a longstanding complaint by the chartered banks about unfair competition from Alberta Treasury Branches (ATB) is revealed. Backdrop In the late 1970s, the North American economy faced surging inflation rates in the low teens and Federal Reserve Board Chairman, Paul Volcker was determined to drive the economy into recession by imposing high interest rates. The Bank of Canada, led by Gerald Bouey followed suit and Canada's bank rate approached 20 per cent. Inevitably, heavily indebted famers, home buyers, and businesses appealed to various orders of government to shield them from the effects of high interest rates. As the correspondence reveals, Alberta's Treasurer ha...

21Dec

By Bob AscahNo Comments

Agencies, ATB, Financial Institutions, Loan Losses, Politics

Bill 44 brings Alberta governments new supervisory powers over ATB Financial

Flying under the radar, the Finance Minister on 3 November introduced Bill 44 the Financial Statutes Amendment Act, an innocuous sounding Bill with important implications for ATB Financial. Minister Toews described the Bill as reducing red tape for "Alberta job creators while improving the resilience of Alberta's financial institutions." The Bill will improve Alberta’s regulatory environment and the competitiveness of Alberta’s financial sector. It will help Alberta attract much-needed investment and job creation in support of our economic recovery plan, and it will balance the government’s commitment to responsible oversight of Alberta’s financial institutions with their need to compete and evolve. However underneath the standard rhetoric of red tape reduction, job creation, and investme...

20Jul

By Bob AscahNo Comments

Agencies, Financial Institutions, Opinion/Research

AIMCo’s Board reports

Updated 21 July 2020 On 9 July AIMCo's board of directors issued a summary of results of its own review of the "VOLTS investment strategy." VOLTS stands for Volatility Trading Strategy. The seven page summary report, dated 30 June, was posted on AMICo's website. Board's mandate Three priorities, set by the Board during its 14 May announcement, were to: limit the damage from the volatility trading strategy; confirm that no other investment strategies could generate substantial losses in very unusual circumstances; and undertake a comprehensive review of the volatility trading strategy to identify lessons learned and corresponding enhancements to AIMCo’s investment and risk management processes....(to) be shared with AIMCo’s clients and shareholder with a target completion of mid-June."...