Financial stability policies for shadow banking

Arbeitspapier

This paper explores financial stability policies for the shadow banking system. I tie policy options to economic mechanisms for shadow banking that have been documented in the literature. I then illustrate the role of shadow bank policies using three examples: agency mortgage real estate investment trusts, leveraged lending, and captive reinsurance affiliates. For each example, the economic mechanisms are explained, the potential risks emanating from the activities are described, and policy options to mitigate such risks are listed. The overarching theme of the analysis is that any policy prescription for the shadow banking system is highly specific to the particular activity.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Staff Report ; No. 664

Classification and Topics

• Classification: Wirtschaft ; Financial Markets and the Macroeconomy ; Financial Economics: General ; Financial Crises ; Financial Institutions and Services: Government Policy and Regulation
• Subject: shadow bank policies ; systemic risk ; financial intermediation

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Adrian, Tobias
• Event: Veröffentlichung
• (who): Federal Reserve Bank of New York
• (where): New York, NY
• (when): 2014

Further information

• Handle: http://hdl.handle.net/10419/120840
• Last update: 10.03.2025, 11:43 AM CET