Banks and regulators should not depend too much on risk models, but overruling them altogether can be illogical and economically damaging.
Latest articles from Regulation
International disagreements on issues such as central clearing house margins and bank bail-in leave national regulators weaker, not stronger.
Venture capital for small businesses, long-term investors for infrastructure and new funding channels for banks will be the priorities for the next stage of the European Commission's capital markets union plans, says European commissioner Jonathan Hill.
EU bank regulation should be applied consistently on a proportionate basis that reflects the size and business model of the banks being regulated.
Participants in The Banker's round table of regulation specialists at leading cross-border banking groups identify the key challenges they are facing and the impact these will have on business models.
Tseng Ming-chung, chairman of Taiwan’s Financial Supervisory Commission, is seen by many as the bringer of long-awaited deregulation and reform. Two years into his mandate, Mr Tseng gives The Banker an update on his strategy, which is already bearing fruit.
Accusations of money laundering levelled at Banca Privada d’Andorra by the US authorities threatened to destabilise the country's banking sector, so the government had to act quickly to contain the crisis. Now, Andorran authorities are keen to show that this was an isolated case and that the wider banking sector is both closely governed and performing successfully.
A tougher regulatory approach to individual responsibility for anti-money laundering controls could put compliance professionals in a difficult dilemma if they do not have the support of their senior executives.
Increasingly confident that they have made the banking sector resilient to any future financial crisis similar to that of 2008, regulators are now turning their attention to shadow banking. But a very different approach may be necessary.
The banking industry is asking regulators to pause to assess the impact of all reforms undertaken in the post-crisis environment. And not before time.
Global Risk Regulator
Most popular content