Insurance and Interconnectedness in the Financial Services Industry
Insurance and Interconnectedness in the Financial Services Industry
Insurance and Interconnectedness in the Financial Services Industry
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FIGURE 1<br />
F<strong>in</strong>ancial Stability Oversight Council Framework<br />
PANEL A ANALYTIC FRAMEWORK FOR DETERMINATION<br />
Influence on <strong>the</strong><br />
broader economy<br />
Vulnerability to<br />
f<strong>in</strong>ancial distress<br />
• Size<br />
• <strong>Interconnectedness</strong><br />
• Subsytutability<br />
PANEL B THREE-‐STAGE PROCESS FOR IDENTIFYING NON-‐BANK COMPANIES<br />
Stage 1<br />
• Quanytayve<br />
thresholds<br />
• Size <strong>and</strong> one of:<br />
• <strong>Interconnectedness</strong><br />
• Leverage<br />
• Liquidity risk<br />
• Maturity mismatch<br />
• Leverage<br />
• Liquidity risk<br />
• Maturity mismatch<br />
Stage 2<br />
• Risk profile<br />
• Analyyc framework<br />
determ<strong>in</strong>ayon factors<br />
Stage 3<br />
• Noyfy companies<br />
• Collect addiyonal<br />
<strong>in</strong>formayon<br />
• Resolvability<br />
• Opaqueness<br />
• Complexity<br />
• Regulatory scruyny<br />
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