Lost in TLAC - Seminar by Tobias Tröger

Описание: Recording of the online seminar held on the 18th of January 2017, organised by the Florence School of Banking and Finance.
Speaker: Tobias Tröger (Goethe-Universität Frankfurt)
Moderator: Pierre Schlosser (Florence School of Banking and Finance)

A key policy consequence drawn from the great financial crisis of 2007 and 2008 has been to compel private sector loss participation in case of a bank’s failure. Not only would such a bail-in of investors in banks spare tax payers but also re-instill market discipline by undoing implicit government guarantees. A crucial precondition for this strategy is that banks exhibit sufficient loss bearing capacity. Regulators both globally and in Europe thus prescribe minimum standards for the amount and quality of loss bearing capital to be held by banks. This online seminar looks at the crucial features of the requirements of the Financial Stability Board’s Total Loss-Absorbing Capacity (TLAC) requirements with a particular view to the Minimum Requirement for own Funds and Eligible Liabilities (MREL) prescriptions in the Bank Recovery and Resolution Directive (BRRD) and highlights some important implementation issues.

http://fbf.eui.eu/event/lost-tlac-onl...