SIB: Difference between revisions
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Systemically Important Bank. | Systemically Important Bank. | ||
A SIB is a large bank whose potential failure would have widespread negative effects in the broader financial system. | |||
For this reason, SIBs are subject to more stringent regulation and capital adequacy requirements than other institutions. | For this reason, SIBs are subject to more stringent regulation and capital adequacy requirements than other institutions. |
Revision as of 12:00, 1 August 2016
Systemically Important Bank.
A SIB is a large bank whose potential failure would have widespread negative effects in the broader financial system.
For this reason, SIBs are subject to more stringent regulation and capital adequacy requirements than other institutions.