2 résultats pour « prudential »

Climate Change Stress Testing for the Banking System

The paper explores the potential inclusion of #climatechange #risks in the #prudential #regulatoryframework, specifically discussing adjustments to #capitalrequirements and changes to the #riskmanagement and #governance framework. The paper argues in favor of the latter but is more cautious regarding the former.

The Informational Impact of Prudential Regulations

"#banks take costly actions (such as higher #capitalization, #liquidity holding, and advanced #riskmanagement) to avoid financial distress and #bankruns ... We show that #prudential #regulations have an informational impact: sufficiently tight regulations can eliminate inefficient separating equilibria in banks’ signaling game, thereby changing the information available to creditors and their incentives to run."