Banks, SIFIs and nonbanks
{"Image DocumentName": "Banks, SIFIs and nonbanks", "Image ImageDescription": "A pressing need is to develop a comprehensive regulatory approach to dealer banks. The dealer banks\u2019 business model is inherently fragile. They combine high leverage, procyclical businesses, and unstable, uninsured wholesale funding. All major dealer banks are SIFIs. Since the crisis, all dealer banks have had access to central bank liquidity facilities via their bank arms. The depository part may represent as little as 5 percent of the group\u2019s overall balance sheet. This increases moral hazard, as a dealer bank can shift risky assets to its bank subsidiary. While driven partly by regulatory arbitrage, the shadow banking system (nonbanks + banks)performs a number of economically useful functions.", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}