The Shadow Banking System (eBook)

Valerio Lemma is an Associate Professor of Law and Economics at the Università degli Studi Guglielmo Marconi in Rome, Italy, and a visiting Associate Professor at Regent's University, UK. He is a professional lawyer within the District of Rome, and attained his degree in Economics, his degree in Law (2006), and his Ph. D. in finance (2010) at Luiss University of Rome, Italy. He has written books previously on real estate investment funds and the reform of project financing, as well as more the 40 articles on banking, finance and insurance regulation.

PART I: GENERAL OBSERVATIONS1.1 The Identification Of The Phenomenon1.2 The Traditional Definitions Of The Shadow Banking System: The Guidelines Of The Financial Stability Board And The Statement Of The G201.3. The Directions Of Certain Central Banks1.4. The Routes Of European Institutions1.5 The Path Of Emerging Countries1.6 The Interpretations Of The Phenomenon1.7. The Different Outcomes Of The Monetary And Supervisory Perspectives1.8 The Boundaries Of The Shadow Banking System: Money Laundering, Tax Evasion And Other Forms Of The 'Black Market.'PART II: THE SHADOW BANKING SYSTEM AS AN ALTERNATIVE SOURCE OF LIQUIDITY2.1. The Economic Determinants Of The Shadow Banking System2.2. Information Asymmetries2.3. Opacity, Pro-Cyclicality And System Instability2.4. Methods For Classification Of The Phenomenon2.5. Is This Economic Freedom Or Escape From Regulation?2.6. The Global Nature And The Riskiness Of The Phenomenon2.7. New Freedoms And Their Problematic NaturePART III: SHADOW BANKING ENTITIES3.1 Special Purpose Vehicles3.2 Shadow Banks3.3. Other Shadow Banking Entities3.4. The Shadow Funds3.5. The Particular Role Of Money Market FundsPART IV: SHADOW BUSINESSES OF BANKS, INSURANCE COMPANIES AND PENSION FUNDS4.1. Multi-Phasic Nature Of The Shadow Banking System And Plurality Of Traditional Operators4.2. The Role Of Banks In The Shadow Banking System4.3. The Dysfunctions Of Internal Controls And Of The Weaknesses Of Other Safeguards4.4. The Action Of The Insurance Companies4.5. The Involvement Of Pension FundsPART V: SHADOW BANKING OPERATIONS5.1. Shadow Credit Intermediation Process5.2. An Undetermined (In The Contents) And Unconfined (Within The Boundaries) Reality5.3. The Operations Of The Credit Transformation5.4. The New Securitization Techniques5.5. Effects On The Maturities Of The Operations And On The Levels Of Financial Leverage5.6. Ratings (In The Shadows)PART VI: NON STANDARD OPERATIONS IN THE SHADOW BANKING SYSTEM6.1. The Use Of Securities Lending And Borrowing And Repurchase Agreements6.2. The Offering Of The Asset-Backed Commercial Paper, Asset-Backed Securities And Collateralized Debt Obligations6.3. Peculiarities Of Derivatives6.4. The Shadow Banking Operations Of Sovereign States6.5. The Use Of Derivatives (To Face The Crisis) By Sovereign States6.6. The Shadow Banking Operations Of The Credit InstitutionsPART VII: SHADOW BANKING RISKS AND KEY VULNERABILITIES7.1. Areas Of Risk In The Shadow Banking System7.2. Risk Factors7.3. Operators And Policies Of Risk Management7.4 Operational Freedom Inside The Shadow Banking System7.5. The Risks Of Organizations7.6. The Prospective Regulation Of The Operations7.7. The Risks Of Governance7.8 The Impact Of European Regulation On The Management7.9. The Risks Of The Entities 'Too Big To Fail'7.11. The Particular Implication Of Monetary PoliciesPART VIII: THE SHADOW BANKING SYSTEM AND THE NEED FOR SUPERVISION8.1. Deregulation Of Financial Markets And Monitoring Of «Shadow Banking System»8.2. Economic Determinants Of The Supervisory System On The Shadow Banking8.3 The Shadow Banking System In The European Internal Market8.4. The Role Of European Institutions8.5. New Supervision Of The Shadow Banking System In Eu: The Action Of The European Commission8.6. The Action Of The European System Of Financial Supervision8.7. The Responsibilities Of The European Supervising Authorities8.8. The Tasks Of The European Banking Union8.9. The Impact Of The New Targeted Longer-Term Refinancing Operations Of The ECB8.10. Evolutionary Trends Of European Supervision (Following Directive 2014/65/EU)8.11. The Role Of Global Regulators: The World Bank And The International Monetary Fund8.12. 'Limited Effects' Of Monitoring And Supervision Designed By The Financial Stability Board