finance made the world riskier? ”, european financial management, 12, pp. 499 - 533. one example is the recently established new project and working group on transmission channels between the real and financial sector by the research task force of the basel committee on banking supervision. see the so - called cross report on “ recent innovations in international banking ” prepared by a study group of the central banks of the group of ten countries ( april 1986 ). it featured also a full chapter on “ global integration of financial markets ”. see for example ashcraft and schuermann ( 2008 ), “ understanding the securitisation of subprime mortgage credit ”, foundations and trends in finance, 2 ( 3 ), pp. 191 - 309, in particular the chart on “ the seven “ deadly ” frictions of securitisation ”. developed macro - prudential function would have to take into account innovations shaping instruments, institutions and processes in the financial system would go beyond regular financial stability analysis. on the basis of the above considerations, a key output of macro - prudential analysis would ideally be a periodical graduated ex ante risk assessment measuring the amount of risk in the overall financial system and its implications for the economy at large. this assessment would also estimate the overall degree of instability that could result if certain unexpected adverse events were to materialise, including scenarios of extreme shocks, ultimately also assessing the resilience of the financial system and of the economy in general. whereas macro - prudential ( and micro - prudential ) supervision is mainly concerned with extreme events such as financial crises ( “ tail risks ” ), the forward - looking approach required to prevent those extremes implies that careful assessments also be made in more tranquil times, establishing how far the system is from a crisis and which risks – if they were to materialise – could bring it closer to a crisis. what is needed to conduct such analysis and monitoring? the starting condition for implementing a comprehensive macro - prudential function is an adequate information basis. the first part of the information basis is a good system of continuous market intelligence, which gives a hands - on picture of current market developments and expectations through direct contacts. the second part consists of the regular collection of macro - prudential data and statistics, such as those relating to the macroeconomic environment, financial markets and related infrastructures, payment and settlement systems, regulated and unregulated intermediaries, non - financial corporations and households

they can continue creating value beyond their home market in the future. in the field of financial services, in particular, there is currently a danger of hidden market access barriers being erected as part of the regulatory reform measures being undertaken in many countries. in this context, support should be given to the proposal by the brunetti group that agreements be negotiated with the countries whose export potential is greatest for the preservation of market access for swiss banks. 11 this might include reciprocal recognition of nationally defined regulations as equivalents, to the extent that this is possible. in the case of globally defined standards, care should be taken to ensure that these are actually be implemented by all the affected countries. this is the only way to guarantee that all market participants have a level playing field. conclusion ladies and gentlemen, i would like to close with the following observations. the swiss banking industry looks back over a great past. now, however, the banks are under pressure, both at home and abroad. state interventions and the actions of the banks themselves have, to some extent, reduced their popularity with the swiss general public and its politicians. meanwhile, the legal disputes with other countries have called the swiss banks ’ cross - border wealth management business into question in a fundamental manner. cf. state secretariat for international financial matters 2014, on the measures proposed in this respect. bis central bankers ’ speeches nevertheless, from an economic point of view, switzerland still has a major interest in a strong banking centre of international importance. however, great efforts are required to ensure that the swiss banking centre can remain successful in the global arena in the future. it is the banks themselves which are mainly challenged. they must ensure that their services provide customers with value added which is well above average. at the same time, their crisis resilience must be considerably above average and their business conduct and reputations far beyond reproach. in this respect, politicians can support the banks. however, industrial policies in the area of finance should be avoided. support for banks should rather come through the creation of an appropriate combination of business conditions. the emphasis should be on measures which strengthen the crisis resilience and reputation of both switzerland and its banking centre in the long term. in my view, this can be achieved if the tbtf issue is alleviated, switzerland ’ s stability in general preserved, and both the privacy of honest tax - paying bank customers and global market access for banks guaranteed. i believe that all players are aware of the major efforts that this requires.