Korea Capital Market Institute

Yield Curve Inversion: Evaluation and Implications [Senior Research Fellow] Baek, Inseok The recent inversion in the Treasury yield curve is drawing an enormous amount of attention in the global financial markets. The inverted spreads between short-term and long-term Treasuries are regarded as the most predictable indicator of a recession. The problem is that the recent inversion came amid when the U.S. economy is going through the longest expansion in history. Con... Information Barriers: Overseas Cases and Implications [Senior Research Fellow] Lee, Seokhoon In May 2019, Korea’s Financial Services Commission unveiled its plan to ease rules on the Chinese Wall as part of its wider reform on the capital markets. If Korea switches to the proposed principal-based rule, this is expected to allow securities firms to head towards more reasonable self-regulation, and thereby fix the problems under the current rule-based regulation. However...