FUNDING LIQUIDITY RISK
\fˈʌndɪŋ lɪkwˈɪdɪti ɹˈɪsk], \fˈʌndɪŋ lɪkwˈɪdɪti ɹˈɪsk], \f_ˈʌ_n_d_ɪ_ŋ l_ɪ_k_w_ˈɪ_d_ɪ_t_i ɹ_ˈɪ_s_k]\
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The RISK of loss arising from an inability to roll over existing unsecured funding or obtain new unsecured funding without incurring a large cost. A subcategory of LIQUIDITY RISK. See also ASSET LIQUIDITY RISK, ASSETFUNDING LIQUIDITY RISK, ENDOGENOUS LIQUIDITY RISK, EXOGENOUS LIQUIDITY RISK.
By Henry Campbell Black
Word of the day
tinctura quininae ammoniata
- A preparation made by dissolving quinin sulphate in alcohol [Br. Ph.].