'Twin Peaks' describes an approach to bank supervision which seeks to ensure that both (i) conduct and (ii) prudential regulation are given appropriate weight.
The UK has implemented a Twin Peaks approach by separating the responsibilities of the Financial Conduct Authority (for conduct) and the Prudential Regulation Authority (for ensuring the financial soundness of individual institutions and of the financial system).
Both of these roles were previously undertaken by the former UK Financial Services Authority.
- Bank supervision
- Financial Conduct Authority
- Financial Services Authority
- Prudential Regulation Authority