Systemic Risk Buffer: Difference between revisions
From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson (Update.) |
imported>Doug Williamson (Classify page.) |
||
| (3 intermediate revisions by the same user not shown) | |||
| Line 3: | Line 3: | ||
(SRB). | (SRB). | ||
The systemic risk buffer is an additional capital buffer required of very large financial firms in the European Union under CRD IV | The systemic risk buffer is an additional capital buffer required of very large financial firms in the European Union under CRD IV. | ||
| Line 15: | Line 15: | ||
==See also== | ==See also== | ||
* [[Buffer]] | |||
* [[Capital adequacy]] | * [[Capital adequacy]] | ||
* [[Capital buffer]] | * [[Capital buffer]] | ||
| Line 21: | Line 22: | ||
* [[Resolution]] | * [[Resolution]] | ||
* [[Single Resolution Board]] | * [[Single Resolution Board]] | ||
* [[ | * [[Systemic risk]] | ||
[[Category:Accounting,_tax_and_regulation]] | |||
[[Category:The_business_context]] | |||
Latest revision as of 12:15, 2 July 2022
Bank supervision.
(SRB).
The systemic risk buffer is an additional capital buffer required of very large financial firms in the European Union under CRD IV.
The aim of the SRB is to raise the capacity of ring-fenced banks and large building societies to withstand stress, thereby increasing their resilience.
This reflects the additional damage these firms could cause to the economy if they were close to failure.
The size of a firm’s SRB is designed to reflect the relative costs to the economy if the firm fell into distress.
