It proposed powerful remedies to the ills of the banking system – but explicitly stopped short of a legal splitting up of banks. Instead, the Group has gone for a `bank holding company' structure of legally (and capital/IT) separate companies. But the red lines between some of the entities still look quite wish-washy. Indeed, have key elements already been overtaken by other proposals since the Group was launched back in February? In particular, the Commission proposal on Bank Resolution and the BIS consultation on a Fundamental Review of Trading Book Capital Requirements have already eaten some of the Group’s red meat. Have they turned the report into a bit of a damp squib? The Barnier reaction may be telling: “This report will feed our reflections on the need for further action”. Sounds a bit like feeding in the long grass! (more comment for GrahamBishop.com clients here).
More blogs
© Graham Bishop
Key
Hover over the blue highlighted
text to view the acronym meaning
Hover
over these icons for more information
Comments:
No Comments for this Article