Attention Economy


Sunday, April 28, 2024

Capital Requirements and Bank Regulation

Capital levels are a poor predictor of bank failure
https://www.ft.com/content/5041e115-ec02-4e18-a313-383e468354ec
Regulators should be embracing much more sophisticated measures of lenders’ health.
 
Why Big Banks Are Resisting Bigger ‘Capital Cushions’
https://www.bloomberg.com/news/articles/2024-03-18/basel-iii-bank-rules-why-lenders-resist-bigger-capital-cushions
 
Big banks aren’t the only institutions posing big financial risk
https://www.washingtonpost.com/opinions/2024/04/16/bank-regulation-basel-iii-endgame/

Banks Rent Rivals’ Balance Sheets to Skirt Capital Rules

https://www.bloomberg.com/news/articles/2024-05-01/rent-the-balance-sheet-banks-seek-ways-to-skirt-capital-rules

Banks are using money from private firms to fund loan businesses in the latest capital-rule workaround.