We talk to them about what their exposures are, how they're evolving, how they're managing them, what experience they are having, and what their contingency plan is for the plausible, if unlikely, case that things would deteriorate further.

Jeremy Rudin

Categorized in : Energy

With the nature of the Canadian system and the exposure that the Canadian banks have, if we were to raise the leverage ratio to as high as perhaps some other countries, we're going to start to undermine the risk-weighted aspect of the capital framework.

Our current view is that we don't want to go there. Once you start publishing the bank's specific results you add to that an element of public relations both for the bank and for the regulator and we think that's going to get in the way of the value of it as a risk management tool.