After the international reserve currency changed from a single dollar to a diversified pattern of coexistence of multiple reserve currencies, the international reserve showed obvious uncertainty. The exchange rate trend and fluctuation range of reserve currency are different with the different monetary structure, and the interest rate level and inflation rate of different countries are also different.
Moreover, with the changes of domestic economic and financial situation and monetary structure in reserve currency issuing countries, as well as the influence of international trade, international capital flow and international emergencies, the exchange rates, interest rates and inflation rates of different reserve currencies are constantly changing. Therefore, under a certain monetary structure, the real value of total reserve assets will constantly change with the exchange rate, interest rate and inflation rate of various reserve currencies. For example, the currency structure of a country's foreign exchange reserves consists of three currencies, namely US dollar, Japanese yen and euro. The currency structure is that the US dollar accounts for 60%, the Japanese yen accounts for 20% and the euro accounts for 20%.
The structure management of international reserve currency is to determine a reasonable currency structure for a country's foreign exchange reserve assets on the basis of following the principles of safety, liquidity and profitability, that is, to determine the relative addresses of various reserve currencies in a country's foreign exchange reserves.
Money (M0)= cash in circulation, that is, cash circulating outside the banking system.
Narrow money (M 1)=(M0)+ demand deposit;
Broad money (M2)=M 1+ quasi-money (unit time deposit+resident time deposit+other deposits+securities company customer deposits+housing provident fund center deposits+deposits of non-deposit financial institutions in deposit financial institutions);
There are M3=M2+ other short-term current assets (such as treasury bills, bank acceptance bills, commercial paper, etc.). ).
Money in economics usually refers to M2, including quasi-money.
Grading
M0= cash in circulation, the sum of cash owned by enterprises and individuals outside the whole banking system;
Narrow money (M 1)=M0+ corporate demand deposit;
Broad money (M2)=M 1+ quasi-money (time deposit+resident savings deposit+other deposits).
There are M3=M2+ financial bonds+commercial paper+large negotiable certificates of deposit, etc.
Where M2 minus M 1 is the quasi-currency, and M3 is set according to the continuous innovation of financial instruments.
Broad money (M2) is a financial concept, which corresponds to narrow money. It is a form or caliber of money supply, expressed in M2, and its calculation method is trading currency, time deposit and savings deposit.