

Policy portal Stability & Supervision
When trust in the financial system disappears, panic sets in: fire sales of financial assets and bank runs can make the entire system collapse. Taxpayers are forced to bail out “too-big-to-fail” institutions to protect essential economic functions (deposits, credit, payment systems).
Mitigating implicit “moral hazard” requires sound prudential policies protecting essential banking services from excessive risk-taking and maintaining adequate capital levels to cover possible losses. Well-resourced, and independent supervision is also key. Finally, prudential regulation must also respond to new risks related to digitalisation (see “Digital Finance”) and climate change (see climate risk under “Sustainable Finance”).

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- Private: Thierry Philipponnat
- Thomas Larible
148 PUBLICATIONS



Cheat sheet: What are ELTIF Funds?


Cheat sheet: What is European Supervision?


Cheat sheet: What is Long Term Financing?


Cheat sheet: What is Securities Financing?


Cheat sheet: What is MiFID II (Level 2)?


Cheat sheet: What is TTIP?


Response to Commission call for evidence on the regulatory framework for financial services


Capital Markets Union and STS Securitisation Q&As & Quick assessment of CRR revision


Need for sustainable prosperity comes first


Response to DG FISMA consultation on the possible impact of the CRR and CRD IV on bank financing of the economy

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