Pillar 3

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Revision as of 18:53, 15 August 2016 by imported>Doug Williamson (Add link.)
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Banking - regulation.

Pillar 3 is the element of banking supervision which engages with 'market discipline'.

Banks are required to make enhanced disclosures of how they calculate their regulatory capital ratios, and to provide reconciliations to their reported accounting information.

The idea is that those following better practice will enjoy lower-cost funding from the market, thereby encouraging best practice over time.


See also