Bank of England's Bailey means assistance funds have three daytimes to rebalance

Bailey means assistance funds have three days to rebalance

October 13, 2022: -On Friday, Bank of England Governor Andrew Bailey told pension fund managers to finish rebalancing their positions when the British central bank is due to end its crisis help program for the county’s fragile bond market.

“We have stated that we resolve to be out by this weekend. We think the rebalancing must be done,” Bailey said at an event organized by the Institute of International Finance in Washington on Tuesday.

“And my message to the accounts involved and all the firms managing those funds: You’ve got three days left now. You’ve obtained to get this done.”

The Pensions and Lifetime Savings Association, an industry body, urged the BoE to extend the bond-buying program until October 31 “and perhaps beyond.”

But Bailey stressed that the schedule was part of the BoE’s financial stability operations, not a monetary policy tool, and had to be temporary.

The British central bank expanded its bond-buying on Tuesday to include inflation-linked debt, about two weeks after launching it to help pension funds cope with a slump in bond prices triggered by the announcement of unfunded tax cuts by the unused government of Prime Minister Liz Truss.

“Things seemed calmer again today,” Bailey said, directing to conditions in the gilt market. “We will see.”

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The Fort McMurray First Nation Group of Companies is the wholly owned business entity of Fort McMurray 468 First Nation. It was established in 1987 as Christina River Enterprises, and the organization rebranded as FMFN Group in 2021. Providing Construction, Custodial, Petro-Canada Fuel & Convenience Store, and Transportation services to a broad portfolio of customers, the Group of Companies is creating financial stability and prosperity for the Nation.

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