Third, risks once held within the four walls of financial institutions are converted into tradable securities and distributed and dispersed to a broader base of institutions and interests. Liquidity and financial innovation have also led to a conflation of the roles played by financial intermediaries, themselves. Intermediation has moved increasingly to financial markets and away from regulated bank institutions.
BIS central bankers’ speeches  1  To structure my remarks, I would like to begin by thinking about the objectives we want to achieve from such a single market, and then consider the policies that are necessary to get there. What is the objective of a single market in capital?