Non-Bank Financial Intermediation (NBFI) encompasses a wide range of financial sectors, including regulated entities like asset management companies, investment funds, non-bank investment firms, pension funds, and insurance companies, as well as unregulated entities such as family offices and supply chain finance companies. 

Since the global financial crisis, the NBFI sector has expanded rapidly. This growth has been accompanied by increased risk in certain asset portfolios, heightened liquidity transformation, and greater leverage - fueled by the 'search for yield' during a prolonged period of negative real interest rates. The interconnectedness between banks and NBFIs has also deepened, raising the risk of contagion across the financial sector and the potential for broader economic spillovers. Recent events have further underscored financial stability concerns related to NBFI, prompting international policy discussions and initiatives across EU and non-EU jurisdictions.

In this online seminar, Mr. Lee Foulger will share the results of the System-Wide Exploratory Scenario (SWES) exercise conducted by the Bank of England; Mr. François Haas will discuss the Eurosystem’s response to the European Commission’s Targeted Consultation on the adequacy of macroprudential policies for NBFI; and Ms. Sandra Lee will present insights from the Annual Report of the US Financial Stability Oversight Council. Mr. John Wennstrom, Prof. Thorsten Beck and Prof. Sarah Hammer will serve as discussants, and Emiliano Tornese will chair the seminar.