While it is not our role to tell banks how they should operate, we must 1/3  BIS central bankers' speeches  warn them against the temptation to prop up their profits by taking on too much risk. An excessive search for yield could easily lead to new troubles for the banks themselves and the financial system as a whole.
And against the backdrop of low profitability, abundant liquidity and high competition, this is not a purely hypothetical concern. As a result, we are not only scrutinising business models and profitability drivers, but are also taking a close look at risk management. This is reflected in our supervisory priorities today and for the coming years.