Regulators are increasingly seeking to ensure that banks match their risk to the amount and quality of their capital, as well as carrying an extra cushion for low-probability events. And banks have concluded that there are advantages in fine-tuning capital use, as much for internal risk management and risk/reward measures as to satisfy the regulators.
Despite the appeal of new approaches to squeezing the most out of resources, Tier 3 capital, the latest capital instrument allowed by European Union (EU) regulators, is getting off to a slow start.
Access intelligence that drives action
To unlock this research, enter your email to log in or enquire about access