Explain why in recent years European banks turned their focus back to their national markets. Outline the potential risks associated with this process. 

Q2: Explain how the securitization technique can be used by international banks to manage their credit risk.

Q3: What is stress testing? Why has it become more important for international banks in recent years? Support your answer with an example of a recent stress testing exercise.

Q4: Comment on the latest developments in the creation of the European Banking Union.

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Focus on National Markets by European Banks In recent years European banks have shifted their focus back to their national markets due to several reasons Regulatory Environment Regulatory changes part... View the full answer