Investment banks

EU braces for Brexit by tightening rules for investment firms

European Central Bank to supervise large, systemic investment firms

bloomberg

20.12.2017

The European Union plans to plug a potential Brexit loophole by bringing the biggest investment firms in the euro area under European Central Bank supervision.

Under a bill proposed on Wednesday by the European Commission, the EU’s executive arm, the ECB would assume oversight of companies classified as “systemic,” while smaller firms would become subject to a new regime that’s better tailored to their activities. The larger firms are mostly units of major investment banks.