One is: take a more long-term view in your business! The requirements of the markets are changing constantly. Provisioning and smart risk management are necessary for sustainable business – not least in the financial sector. The second message is that regulators and policymakers are not the only parties responsible for giving the markets a proper framework.
Market participants themselves are primarily responsible for making the markets work. Our recommendations are aimed at encouraging a longer-term business policy focus. Specifically, banks must further strengthen their capital base in response to the loss of confidence in the banking sector; and the salaries and bonuses paid by banks have to go down if banks earn less – this applies especially to investment banking.