When the rubber hits the road: bank resolution, unlike supervision, is a murky concept

Because of the real threat of a run, the prompt and unconditional takeover of a stressed bank by a healthy peer should be the only effective endgame of bank resolution.

Even if it entails elements of State support, a no-no in European bank regulation since the GFC. Intelligent, robust, and dynamic supervision – including early intervention – is the best line of defence against failing banks ending up in resolution.

Join us for this webinar where Sam Theodore will flag his caveats around current resolution tools and processes, especially those aiming for a failing bank to emerge from resolution as an independent entity.