The Basel Committee on Banking Supervision is separately working on proposals that will limit banks’ room to manoeuvre in a variety of areas including how mortgages and trading assets affect key capital ratio calculations.
Regulators believe a level playing field would boost competition, but research from JPMorgan shows that the various “harmonisation” efforts would have a serious financial impact on 35 of Europe’s biggest banks.
The full FT article (behind the pay wall) is here.