The 'repo' market

Senior Editor Paddy Hirsch explains why the repurchase (or repo) market is a vital part of the financial system, and why the government is considering changes to it.

Credit default swaps? They're complicated -- and scary! The receipt you get when you pre-order your Thanksgiving turkey? Not so much. But they have a lot in common: They're both derivatives. Senior Editor Paddy Hirsch explains.

Bonds, notes and bills

So much government debt! But what's the difference between the Treasury's bills, notes and bonds? Senior Editor Paddy Hirsch explains.

Inflation

Most economists agree that inflation of about 2% or 3% annually is a natural function of a growing economy. But people are worried government stimulus measures could spark much higher inflation. Senior Editor Paddy Hirsch explains

High-frequency trading

High-frequency trading is creating a ruckus on Wall Street. Marketplace Senior Editor Paddy Hirsch explains what high-frequency trading is and why some people are up in arms about it.

Factoring

Many small businesses get the cash they need to operate and expand from so-called factors. One of the biggest factors in the business is CIT, and with CIT on the ropes, small businesses are worried. Senior Editor Paddy Hirsch explains what factoring is, and how it works.

Comments

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By Darth Vader

From NYC, NY, 10/23/2009

Great video-lessons!
Can you do one on calculating interest rates? For example, in your repo example: $1 for $100 'loan' for 1 day translates into what annual interest rate? Thanks.

By Christopher Hill

07/16/2009

The simple grace of what you folks are doing is remarkable. Like sharing water with sickly nomads you're quenching a fierce thirst for knowledge in a desperate time.
Its frightening all but a slim minority understand fundamental components of our financial sector including those politicians positioned to oversee and to oversee the overseers. Before we can have this epic conversation about how our society operates there must be a definition of terms and a minimal level of understanding. When that is truly achieved we can begin applying generational common sense to regulation.
The household mother can perform economic magic, she can extract full value, she can operate with intense discipline, and she can spot a pyramid scheme knocking at her door, too. More retired moms at the SEC would be a start. And maybe some wise aggregated popular wealth could balance all of this clever shortsighted capital darting around the market. Investment democracy.

By Danny K

07/08/2009

Awesome Presentation on Repo Market. Really enjoyed it and I am sure not many financial analysts can explain so well.

By bhavin dhakka

From uae, 06/30/2009

hi paddy hirsch.i really like the way you explain many things in a simple way.i wud like it if u cud explain any else in any other field or topic.n i always wait for ur new video.(u cum up wit new video everyday..lol.jus kiddin).keep up a good.n thank you again.

all the best
bhavin
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