A Research On International Regulation Of Shadow Banking:

Since the outbreak of subprime lending crisis,the global balance of economic power has changed significantly,and the shadow banking system that triggered this crisis has attracted worldwide attention since the crisis.Many countries and international organizations in the world have proposed a variety of regulatory approaches to the risks that shadow banking may bring,forming a global regulatory rule system of shadow banking.However,there are some defects in the current regulation system,which bring some problems to be solved.Strengthening the regional regulation of shadow banking is a feasible strategy to relieve the stiffness of the current regulation system and to solve the problems caused by the system,which makes up for the deficiencies of the current regulatory system.The Chapter 1 of this paper introduces shadow banking itself and the risk caused by it.It describes the definition of shadow banking,and expounds the characteristics of shadow banking(including the absence of regulation,the default conductivity,high leverage and low transparency)and how these characteristics induce and deepen the subprime crisis through regulatory arbitrage and systemic risk,and lead to the amplification of losses.The Chapter 2 introduces the status quo of regulatory rules of shadow banking.The Subchapter 1 of this chapter takes the regulatory rules of shadow banking in America and Britain for example to introduce the domestic regulation of shadow banking,while the subchapter 2 takes the Financial Stability Board's and the European Union's regulatory rules of shadow banking as an example to introduce the international regulation of shadow banking.Besides,the Subchapter 3 summarizes the characteristics of the current shadow banking regulation system,and specifically discusses the internalization of the global risk management and control of shadow banking,the convergence of regulatory rules,and the regulatory rule system's being faced with the impact of some unstable factors.After that,the Chapter 3 expounds the problems existing in the current regulation system of shadow banking,including the lack of opportunities for participation of developing countries in rule-making,the shortcoming of convergent regulation methods,the spillover effects of financial regulation policies and having an inadequate coverage of risk regulatory rules.Finally,the Chapter 4 proposes that the regional regulation of shadow banking is a possible optimization path of regulatory rules.The Subchapter 1 of this chapter introduces the basic construction of regional regulation of shadow banking,namely being a cooperator of the Financial Stability Board and a no-threshold organization including more member states,and having a stronger binding and a multi-level allocation of member states' obligations.And the Subchapter 2 specifically analyzes the feasibility of regional regulation of shadow banking,and concludes that the accumulated practical experience of Financial Stability Board and European Systemic Risk Board,the expanding shadow banking market and the changes in the balance of power all increase the feasibility of the regional regulation of shadow banking.At the end,the Subchapter 3 elaborates the advantages of regional regulation of shadow banking,that is,it can enhance the participation of developing countries and relieve the stiffness of unified regulatory rules.