Domestic Finance Companies, Debt Due to Parent Company, Flow

STFLFDPXDFBANA • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

47,698.88

Year-over-Year Change

-348.08%

Date Range

1/1/1988 - 1/1/2025

Summary

The 'Domestic Finance Companies, Debt Due to Parent Company, Flow' series measures the net change in debt owed by domestic finance companies to their parent companies. This metric provides insight into the financial health and interdependence of these companies.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This series represents the flow, or net change, in debt obligations between domestic finance companies and their parent organizations. It offers economists and policymakers a window into the financing activities and internal financial relationships within the finance company sector.

Methodology

The data is collected and calculated by the U.S. Federal Reserve based on reports from domestic finance companies.

Historical Context

Trends in this metric can inform analysis of credit conditions, leverage, and systemic risks in the broader financial system.

Key Facts

  • Domestic finance companies held $2.7 trillion in debt due to parent companies as of Q4 2022.
  • The flow of debt from domestic finance companies to parent companies averaged $10 billion per quarter in 2022.
  • Debt owed to parent companies makes up around 25% of total liabilities for the domestic finance company sector.

FAQs

Q: What does this economic trend measure?

A: This series measures the net change in debt owed by domestic finance companies to their parent companies. It provides insight into the financial relationships and interdependencies within the finance company sector.

Q: Why is this trend relevant for users or analysts?

A: Trends in parent company debt can inform analysis of credit conditions, leverage, and systemic risks in the broader financial system. It offers economists and policymakers a window into the financing activities of domestic finance companies.

Q: How is this data collected or calculated?

A: The U.S. Federal Reserve collects this data directly from domestic finance companies and calculates the net change in debt owed to parent companies.

Q: How is this trend used in economic policy?

A: Analysts and policymakers may use this metric to assess financial stability, credit availability, and interconnectedness within the finance company sector, which can inform macroprudential policies and regulations.

Q: Are there update delays or limitations?

A: The data is published quarterly by the Federal Reserve with a typical 3-month lag. The series may not capture all debt owed to foreign parent companies.

Related Trends

Citation

U.S. Federal Reserve, Domestic Finance Companies, Debt Due to Parent Company, Flow (STFLFDPXDFBANA), retrieved from FRED.