BIS central bankers’ speeches  7  economies develop, Asia needs to be vigilant in isolating the potential contagious effects of external shocks, such as the deleveraging of assets by European banks, through a steady transition to an economy driven also by domestic demand.
Mortgage-related banking continues to be attractive, particularly in this interest rate environment. Although it has taken some toll on the value of mortgage-servicing rights, the recent boom in refinancings has provided a nice source of fee income. However, acquiring long-term, fixed-rate assets can also be a risky business, as we all know.