In October 2011 the Financial Stability Board (FSB) adopted the Key Attributes of Effective Resolution Regimes for Financial Institutions (the Key Attributes). The Key Attributes set out the core elements that the FSB considers to be necessary for an effective resolution regime.
The Key Attributes relate to: scope, resolution authority, resolution powers, set-off, netting, collateralisation, segregation of client assets, safeguards, funding of firms in resolution, legal framework conditions for cross-border cooperation, crisis management groups, institution-specific cross-border cooperation agreements, resolvability assessments, recovery and resolution planning and access to information and information sharing.
The FSB has now adopted additional guidance that elaborates on specific Key Attributes relating to information sharing for resolution purposes and sector-specific guidance that sets out how the Key Attributes should be applied for insurers, financial market infrastructures (FMIs) and the protection of client assets in resolution.
The newly adopted guidance documents have been incorporated as annexes into the 2014 version of the Key Attributes. No changes have been made to the text of the original Key Attributes. These remain the umbrella standard for resolution regimes covering financial institutions of all types that could be systemic in failure.
View FSB publishes guidance on resolution of non-bank financial institutions, 15 October 2014