In 2020, a new accounting standard will shake up how banking investors consider credit risk. TelisDemos explains. WSJWhatsNow
Credit risk was mostly a nonfactor for banking investors in 2019. It was all about interest rates. The new year might be a different story.
This isn’t to say that the long-awaited “normalization” of default rates on loans to consumers and businesses will suddenly arrive, at least not without an accompanying recession.
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