Financial Stability, Shadow Banking

Shadow banks increasingly in regulators’ sights

By Farah Khalique
Jouni Aaltonen
Jouni Aaltonen, Association for Financial Markets in Europe

After years of watchful waiting, financial regulators are starting to crack down on the ballooning $239.3tn shadow banking sector.

Last month, the Financial Stability Oversight Council (FSOC) in the US released groundbreaking proposals that would make it easier to classify shadow banks as systemically important. The multi-regulator’s decisive move comes ...

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