NEWS 2011

November 16: What is the Future of Long-term Financing of Unlisted Companies?

Didier Davydoff, Director of the Observatoire de l'Épargne Européenne, was interviewed by Easy Bourse, following recommendations by Chamber of Commerce and Industry (CCIP) in Paris, for an article entitled ‘What is the future of long-term financing of unlisted companies?' One solution offered is to adjust life insurance taxation according to risk and investment duration as a method to encourage households to invest savings in non-listed companies.

For more information:

Interview with Didier Davydoff (French only)
The study on CCIP's website (French only)

November 15: Algorithmic Trading

Thierry Foucault presented the findings of research on the impact of algo trading on price discovery, liquidity and volatility. He argued that more research is needed on the "macro" implications of algorithmic trading, in particular, the implications for systematic risk, long-run investors and the real side of the economy (e.g. investment decisions by firms).

His presentation was followed by a discussion led by Charles-Albert Lehalle, global head of quantitative research at Cheuvreux, who examined the results of this briefing paper.

For more information, see Thierry Foucault's briefing paper in the Studies on Savings section

October 27: Retirement Savings Gap in Europe

André Cappon (CBM Group) presented the results of his briefing paper entitled ‘The retirement savings gap in Europe'. This paper offers an estimation of the level of savings necessary in order to maintain the income of retirees while taking into consideration the ‘replacement rate' (the percentage of wages earned while active that went towards a pension). The rate of returns on household savings was considered to be limited as a result of conservative asset allocation of household investments.

This presentation was followed by an analysis of the results by Daniele Fano, Professor at the University of Rome and author of the recently published ‘Financial Accounts in the system of National Accounts and in the Current Economy' that the study is based on. Daniele Fano highlighted certain puzzles that concern savings and that are generally misunderstood by economists.

Those attending the conference were then able to participate in an open discussion that allowed them to challenge the study's results with their own ‘real-life' professional experiences.

For more information, see André Cappon's briefing paper and Daniele Fano's presentation in the Conferences section of the website.October 19, 2011:

Octobre 19: The Moody's blues

Didier Davydoff, the Director of the Observatoire de l'Épargne Européenne was invited to participate in a discussion on France 24's Debate programme entitled "The Moody's blues: who has final say on how to fix Europe?". Didier Davydoff stressed that measuring a country's financial situation should not be limited to that of its government. Household savings deposits in continental Europe are an important factor when considering financial stability and should therefore be taken into account. He also argued that since credit agencies have the potential to influence the functioning of financial markets, their communication should be heavily monitored, as should information concerning the issue of government saving securities.

Watch the programme

For more information on the regulation of credit agencies, see the report by the High-Level Group, chaired by the OEE's President, Jacques de Larosière, and OEE's report for the European Parliament entitled "An Assessment of 10 years Financial Services Action Plan".

October 18: 4th Santander International Banking Conference

Jacques de Larosière, President of the OEE, participated in a debate at the 4th International Banking Conference. This year the conference focused on the three following themes:

• The challenges of supervision
• Priorities of the regulatory debate
• The financial system and the global economy

For more information, see Jacques de Larosière's presentation and the conference website

October: Publication of the 20th Overview of European Savings

The OEE published its 20th Overview of European Savings. The report includes principal indicators on household savings and the most recent savings trends, in addition to a special focus on algorithmic trading for investors.

For more information:

See the press release (French only)

October 17: Savings in France

Alain Tourdjman, Director of Economic Studies and Forecasting at BPCE, and Didier Davydoff, Director of the OEE, took part in RCF's radio show "Magazine de l'économie". The focus of the programme was savings in France. Both Alain Tourdjman and Didier Davydoff described the motivations behind saving, the current state of the savings market and the future of savings. The discussion also covered saving behaviour during the crisis.

Listen to the programme (French only)

October 6-8: Economics of the Family

A conference on the Economics of the Family was organized in Paris by École Normale Supérieure de Cachan (ENS Cachan), the Institut d'Études Démographiques (INED), Paris School of Economics and the University of Cergy Pontoise in honour of Gary Becker, winner of the Nobel prize in economics in 1992, and in celebration of the 30th anniversary since the publication of ‘A Treatise on the Family'. The conference, which was attended by 150 researchers from over twenty countries across the globe, saw the announcement of a research fund dedicated to the development of research on the economy of the family and in partnership with the RATP and AG2R-La Mondiale.

For more information:

Conference website

Brochure on the Economy of the Family research fund (French only)

September 27: Presentation of IODS Databases

IODS organised a conference on September 27th, 2011, at the Institut Louis Bachelier, Palais Brongniart, in Paris. A presentation covering the databases on offer was given in the presence of IODS stakeholders and the IODS team. The conference was followed by a cocktail.

For more information:

Conference invitation

IODS website

September 15: Presentation of CEPREMAP's latest opuscule

Luc Arrondel (PSE-CNRS) and André Masson (PSE-EHESS) presented the results of their study ‘How the Crisis has Changed the Way We Save', which investigated saving behaviour during the subprime mortgage crisis from 2007 to 2008. Using research data and national income, Arrondel and Masson showed that risk did not alter the preferences of savers. They were, however, more likely to select savings products that were themselves less risky and long-term as opposed to those that were high risk and so, consequently, the number of people engaging in high-risk saving decreased.

For more information:

CEPREMAP's website
Download the study (French only)

July 5: Launch of IODS

IODS (INSEAD OEE Data Services) launched the first European portal for economic and financial data for researchers on

The data available are structured according to four categories:

Market data: Detailed data on prices and transactions on all European regulated markets and MTFs (Multilateral Trading Facilities)
Corporate data: Financial data with a fine level of granularity on European companies (all French and European companies for which the turnover is over 10 million euros)
Financial Products: Data and information at a fund level
Savings & Credit: Includes a macrofinancial database that allows access to statistics regardless of the source

For more information, see the press release.

June 20: The Global Regulation of Finance

Jacques de Larosière President of the OEE and member of the Academy of Moral and Political Sciences, organised a study morning within the framework of Academy Interviews. The general area of discussion - headed by Jacques de Larosière, Mireille Delmas-Marty and Christian de Boissieu - concerned the global regulation of finance, with a focus on the three following themes:

1. The macro-economic vision
2. Legal aspects
3. The findings and proposals relating to global monetary systems

For more information:

Jacques de Larosière's presentation (French only)

May: Publication of the 19th Overview of European Savings in Europe

The OEE published its 19th Overview of European Savings. The report includes principal indicators on household savings and the most recent savings trends, in addition to a special focus on algorithmic trading for investors.

Click here to see the press release press release.

May 17: Savings Flow of the Livret A

Didier Davydoff was interviewed by Easybourse on the savings flow of the Livret A.

For more information, see the interview (French only)

April: OEE's 12th Call for Papers

The OEE launched its 12th Call for Papers. The three research themes were decided during the Orientation Committee Meeting, chaired by Christian Gollier, that took place on April 5, 2011.

For more information, see the Call for Papers section of the website.

April 6: The Future of the Savings Market in Europe

Didier Davydoff, Director of the Observatoire de l'Epargne Européenne, participated in Crédit Agricole Titres' general meeting, where he gave a presentation on the future of the savings market in Europe and which savings products are suitable for which investors.

March 24 & 25: Conference: Saving and portfolio choice of households: Macro and micro approaches

The Banque de France organised a conference on ‘Saving and portfolio choice of households: Macro and micro approaches'. The conference covered household wealth, household portfolio choices, the dynamics of asset prices and expectations, the influence of the crisis on savings, and return predictability, wealth accumulation and retirement. The conference closed with a roundtable that counted Jean-Michel Charpin (Inspection Générale des Finances), Luis Viceira (Harvard Business School), Didier Davydoff (Observatoire de l'Epargne Européenne) and Edward Whitehouse (OCDE) as its participants.

For more information, see the Programme.

March 1: Household Savings in Spain

La Fundacion de Estudios Financieros (FEF) presented ‘Household Savings in Spain', a publication edited by Domingo Garcia, Head of Research at the Madrid Stock Exchange (Bolsas y Mercados Espanoles - BME), that compiles a number of articles covering various dimensions of savings. Didier Davydoff, Director of the OEE, contributed to this publication with a comparison of savings in Spain in relation to the rest of the Euro zone. Several of the elements included in Didier Davydoff's article featured in the Secretary of State for Economy D. José Manuel Campa's address at this occasion. The principal conclusion of the study was that household savings can play a decisive role in reducing Spain's dependance on outside financing.

For more information:

Press release Press release (Spanish only)
Domingo Garcia's presentation (Spanish only)
Article in l'Expansión (Spanish only)
Didier Davydoff's study

February 15: OEE Conference: Investor Attitudes Towards Risk

This conference on ‘investor attitudes towards risk in the context of the financial crisis' revealed the results of three following studies that allow a better understanding of the behaviour of savers since the start of the crisis: "Portfolio choice, over-confidence and disposition bias", Professor Patrick Roger (Strasbourg University), "Who takes risks when and why: determinants of changes in investor risk taking", Professor Martin Weber (University of Mannheim) and "Impact of the crisis on attitudes towards risk", Professor André de Palma (ENS Cachan).

For more information:

See these studies in the ‘Studies on Savings' section of the website and the presentations in ‘Conferences'.

February 2: The AMF Publishes ‘An Evaluation of MIF Questionnaires in France'

The principal results of a study on the evaluation of MIF questionnaires conducted by André de Palma (ENS Cachan and Ecole Polytechnique) and Nathalie Picard (University of Cergy-Pontoise) was published by the Autorité des Marchés Financiers.

For more information: see the study on the AMF website

January 27: Launch of IODS

IODS (INSEAD OEE DATA SERVICES) launch the first European financial data platform.

For more information, see the press pack (French only)