Switzerland needed its massive banks to be fortresses. In observe, the nation’s “too massive to fail” banking legal guidelines made a sand citadel of Credit score Suisse.
The Swiss guidelines in query have change into an object lesson within the difficulties of designing monetary regulation. Created to forestall a repeat of the 2008 monetary disaster bailouts, Switzerland’s personalized model of worldwide capital necessities laid the groundwork for the most important financial institution rescue since.
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