Last year’s bank failures left many asking, "Where were the supervisors?" Warning signs may be obvious in hindsight, but only serve to demonstrate that current oversight is overly reliant on supervisory judgement. So long as culture and risk governance remain a matter of subjective judgement, regulators and firms will remain challenged in deciding when intervention is necessary.
Observations
Apr 18, 2025Last week, the Financial Stability Institute (FSI) published a report entitled "Act Early or Pay Later: The Role of Qualitative Measures in Effective Supervisory Frameworks," which examines the role of qualitative measures and supervisory judgment in achieving effective supervision.
Observations
Oct 04, 2024Members of the Basel Committee on Banking Supervision (BCBS) recently met virtually to assess recent market developments and risks to the global banking system, and consider how supervision can be made more effective in the face of these challenges.
Compendium
Jun 11, 2024
