Stability & Supervision | Finance Watch - Page 2

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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22 PUBLICATIONS

Consultation response

Response to Commission consultation on the market risk prudential framework

Position paper

Separating fact and fiction – Note on the Bank Structural Reform

A Finance Watch note looking at some of the confusing and contradictory arguments made against regulating the structure of the largest, too-big-to-fail, too-complex-to-manage-and-regulate and too-connected-to-fail banks.
Policy brief

Finance Watch Policy Brief “Separating universal banks from too-big-to-fail banks (TBTF)”

A Finance Watch Policy Brief that illustrates the very different characteristics of Europe’s small, medium and large banks.
Consultation response

Response to ESMA consultation on MiFID II/MiFIR Technical Standards

Consultation response

Response to EBA consultation on MREL

Factsheet

Cheat sheet: What is the Capital Markets Union (CMU)?

Background Actions of Finance Watch Key risks and our Publications on this dossier
Factsheet

Cheat sheet: What is Securitisation (CMU)?

Background; Actions of Finance Watch; Key risks; and our Publications on this dossier.
Factsheet

Cheat sheet: What are Shadow Banking & Money Market Funds (MMFs)?

Content: Background Actions of Finance Watch Key risks and our Publications on this dossier
Consultation response

Response to first ESA discussion paper on PRIIPs Level 2

Consultation response

Response to BCBS/IOSCO consultation on simple, transparent and comparable securitisations

Consultation response

Response to FSB consultation on TLAC

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