Bank assets and business models: addressing complexity

At this event, we discussed the lack of transparency and problems in valuing correctly significant parts bank assets in the euro area based on an exte

Date and time: 21 March 2018 14:00-16:00

Speakers

Martin Merlin

Director - Bank, insurance and financial crime, European Commission, DG FISMA

Simon Ainsworth

Senior Vice President, Group Credit Officer at Moody's Investors Service,

Josina Kamerling

Head of regulatory outreach - Europe, Middle East, and Africa (EMEA), CFA Institute,

Video & audio recordings

The financial crisis has starkly underlined the dangers of complex financial assets. Such assets are not only hard to value and price, but may also lead to fire sales and solvency risks once liquidity dries up. Based on an extensive study by the Bank of Italy this event discussed the lack of transparency and problems in valuing correctly significant parts of bank assets in the euro area. This allowed a review of whether the post-crisis regulation has brought about bank business models that generate more transparent assets, and a safer type of banking.