November 2009
Beginner
368 pages
11h 24m
English
According to EU legislation, banks can develop any kind of financial business except
Nevertheless, banks are allowed to hold equities of AMCs, insurance companies, and non-financial firms. Some countries have fixed rules due to the specific relationship between banks and non-financial firms. According to EU rules, if a bank invests in equity, it must cap the investment because equity investments, as well as other banking assets, impact regulatory capital.
The caps applied are similar throughout Europe, with the exception of Germany where there are no ...