268-286; and Bergant, K. and Schmitz, M. (2019), “Valuation Effects and Capital Flows – Security Level Evidence from Euro Area Investors,” mimeo, International Monetary Fund and European Central Bank. [20] See Lane, P. R. and Shambaugh, J. C. (2010), “Financial Exchange Rates and International Currency Exposures,” American Economic Review, Vol. 100, No 1, pp.
The decline in value of many mortgage-backed securities and the consequent market uncertainty as to the true value of that entire class of securities raised questions about the solvency of major broker-dealers.