Regulation and Supervision on Financial Markets

Indicative content

1. Definition of regulation and supervision in finance, issues of regulation in banking and insurance. History of development of regulation since 2000. Institutional frame of regulation in finance. Legislative aspects of regulation, aims of regulation and supervision. Regulatory arbitrage.
2. Systemic risks in finance. Impact of economic cycle on regulation. Substance of systemic risks in supranational and national level and influence on regulation. Performance of systemic risks regulation.
3. Regulation of business of commercial banks, regulatory function of equity. Goals and techniques of equity regulation in frame of Basel committee on banking supervision. Capital adequacy ratio as issue of regulation. Regulation of capital in SR.
4. Aspects of liquidity regulation in commercial banks, aims of liquidity regulation. Impact of liquidity regulation on liquidity needs. Liquidity analysis as a tool of evaluation of efficiency of regulation. Impact of liquidity regulation on balance-sheet structure.
5. Requirement of risk regulation in commercial bank. Standard and advanced methods of risk regulation in banks. Exploitation of credit standards in in risk regulation. Risk regulation policy in NBS.
6. Single supervisory mechanism and his impact on utilization of rules of regulation. Single supervisory mechanism introduction, reasons and consequences. ECB and national agencies of regulation and supervision, demarcation of their competences. Mechanism of regulation and supervision. Significance of SIFIs in regulation. Enforcement of regulatory rules.
7. Single resolution mechanism as a tool of solving of crises situations in commercial banks. Structure and functioning of single resolution mechanism. Bail in and Bail out as an efficient instrument of crises situations resolution. Aspects of Bail in and Bail off mechanism and his importance.
8. Regulation of deposit protection in multinational and national level. Significance of moral hazard for policy of deposit protection. Deposit insurance schemes in concept of banking union. Single deposit insurance scheme and national deposit insurance schemes.
9. Stress testing as a tool of regulation, macro and micro issues. Stress testing scenarios and parameters. Methods of stress testing, comparability and credibility. National and supranational issues of stress testing. Impact of stress testing on regulation.
10. Regulation of protection against legalization of incomes from crime and terrorism finance. Legal entities and civil persons unusual trade operations and their regulation. Institutions evolving in this regulation and cross country aspects.
11. Regulation of insurance companies. Goals and methods of regulation. Harmonization of prudent business regulation in insurance companies. Impact of regulation on legal assurance for supervision body, insurance companies and reinsurance companies. Regulation of finance intermediation. Cross country regulation. Supervision agencies cooperation and supervision colleges.
12. Solvency II. Quantitative aspects. Evaluation of assets and payable accounts, including technical provisions, for regulatory issues. Capital needs and their resources. Regulation of prime and supplementary risks. Evaluation of solvency systems. Regulation of investment of technical reserves.
13. Solvency II. Qualitative aspects. Administration and conduct of risk management. Evaluation of risk and solvency. Professional eligibility and credibility of key managers. Internal audit and external evaluation of regulation. Regulatory requirements for providing data due to supervision. Transparency of information publication.