As many of you are aware, their impact is substantial and not limited to the banking industry as it flows over into the over-the-counter (OTC) derivatives market and so-called shadow banking activities. Simultaneously the role of (SIFIs) took centre-stage, with tightened capital requirements and other regulatory requirements such as resolution plans.
For example, a number of public and private efforts have been made to help avoid unnecessary foreclosures and to enable underwater and other borrowers to refinance at lower interest rates. Alternatives to foreclosure, including short sales and deed-in-lieu arrangements, have become more common.